Creative Communication LCC1013

Subject: Creative Communication LCC1013
GROUP TOPIC: Why Pirated Movie Still Exist?
INTRODUCTION & PROBLEMS
Pirated movies either hard copy (VCD, DVD, Blu-Ray, etc) or soft copy (torrent, download archive) was no longer in control.
People kept choosing pirated movies because they are cheap and easy to obtain from the black market which openly sold those pirated copy movies at the street even in the famous shopping mall at every major city in the world!
Authority and film maker have spent billions of dollars to overcome piracy but it never comes to end as expected.
Most of film maker today depends on ticket and merchandise sale to gaining profits. In the same time they also lost a lot of money then what they had got in profiting because of movies piracy.
Piracy of movie products has both a positive impact and a negative impact on the legitimate sales of the movie product. On the one hand, movie piracy decreases the legitimate sales because the pirated movie user may not watch a theatrical movie; on the other hand, however, piracy increases the legitimate sales of the movie product through the impact of network externalities and the diffusion of information.
If the positive and negative impacts of piracy on the sales of movie products coexist at the same time, the overall impact of piracy on sales will depend on which impact is superior.
This paper tries to estimate the impact of movie piracy on the theatrical movie industry. In order to do this, a mathematical model was developed by modifying Hui and Png’s model for music piracy and, then, the overall impact of movie piracy on the theatrical movie industry estimate utilizing data on movie sales, admission price, video penetration, piracy rate of movies, and Internet penetration of 25 countries for 5 years through a two-stage least square model analysis.
Each positive impact and negative impact of movie piracy on the theatrical movie industry is not estimated, however overall piracy impact resulting from the substitution between the negative and the positive impact of piracy is estimated.
The results show that the overall impact of piracy is slightly positive. This implies the counterintuitive conclusion that theatrical movie sales have at least slight benefits from movie piracy.
The impact of pirated movies are terrible and even the MPAA (Motion Picture Association of America) was force to lied about the actual pirated movies statistic.
Even the MPAA themselves upload the fake movie at some cyber piracy portal on the world wide web to avoid the actual movie from being illegally copied and released for viewing without any profits gained and authorization. Indeed.
REFERENCES
1.) Copyright Infringement
LINK: (http://en.wikipedia.org/wiki/Copyright_infringement)
2.) The Industry Trust
LINK: (http://www.copyrightaware.co.uk/)
3.) Why Piracy Movies is Bad and What To Do About It?
LINK: (http://screenrant.com/movie-piracy-zombieland-video-on-demand-digital-download-solutions-kofi-35289/)
4.) The Film Talk
LINK: (http://www.thefilmtalk.com/2009/02/05/alec-baldwin-hulu-netflix-watch-instantly-piracy-hollwood-movies-bittorrent/)


by Shahfizal