Movie Stars and the Distribution of Financially Successful Films in the Motion Picture Industry

Audiences choose to see films using information from previous films. A stochastic consumer choice process based on this assumption generates a particular distribution of financially successful films among film types. Movie stars can be used to mark these successful film types. Thus, their star power originates not only from box-office appeal but also from marking power. Evidence of 960 top 20 films released in the United States and Canada between 1940–1955 and 1960–1995 is consistent with this model.