Lam+M+Final+Report

Lam M

Proximity Research Report

 ** Potential Downfalls of The Film Industry's Use of 3D Technlogy ** By Matthew Lam May 18, 2010
 * 3D Movies In The 20th Century **

**Table of Contents** **Executive Summary

The Nature of 3D Technology

Attracting Viewers Through Incentives

The Affect of Prices on 3D Movies

Maintaining a High Standard of Quality

Choosing Genres Which Appeal to Demographics

References**

**Executive Summary ** Since 3D technology was first introduced in the early 1900's, it has experienced several short-lived periods of commercial success, followed by an eventual loss in consumer interest. Within the last decade, films are once again implementing 3D technology in their movies. Films bearing 3D technology have recently experienced a surge of popularity. Studies show that 3-D movies constituted $1.1 billion in ticket sales in 2009, equaling to 11% of all business; a huge increase compared to the 2% of all business in 2008 (Bowles).

New advancements in video quality and viewing mediums create a very competitive film market. However, this new era of 3D technology provides clients with a unique way to view movies in a way that is not offered through any other medium. This report will outline weaknesses in the business strategies of 3D film producers, and how they can be improved.

3D Tech - 2

**The Nature of 3D Technology **

History has proved that 3D technology is a novelty feature that initially attracts a large audience through hype and curiosity. Climaxes in consumer interest will be followed by an abrupt decline in movie box office sales. The sudden popularity in 3D Technology is misleading because consumers are curious as to how this new technology compares to other viewing mediums such as HDTV. Over-zealous expansion of this technology in response to sharp increases in profit will only decrease potential marginal profits.

 3D Tech - 3

**References**

Bowles, Scott. "More than two sides to 3-D movie debate at ShoWest." USA Today, 22 Mar. 2010. Web. 18 May 2010. .

Plaza, Rob. "3-D Is Hot & So Are These Stocks - Investment Ideas." //Zacks Investment Research // . Newstex, 29 Mar. 2010. //LexisNexis Academic // . Web. 18 May 2010. <[] >

Speier, Michael. "Content, Technology Haven't Caught Up to Enthusiasm for 3D TV." <span style="-webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px; font-family: 'Times New Roman',Courier,Helvetica,Arial,sans-serif; font-size: 12px; line-height: 24px;">//<span style="font-family: Arial,Helvetica,sans-serif;">The Wrap // <span style="-webkit-border-horizontal-spacing: 0px; -webkit-border-vertical-spacing: 0px; font-family: Arial,Helvetica,sans-serif; font-size: 13px; line-height: 20px;">. Newstex, 7 June 2009. <span style="-webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px; font-family: 'Times New Roman',Courier,Helvetica,Arial,sans-serif; font-size: 12px; line-height: 24px;">//<span style="font-family: Arial,Helvetica,sans-serif;">LexisNexis Academic // <span style="-webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px; font-family: Arial,Helvetica,sans-serif; font-size: 12px; line-height: 24px;">. Web. 18 May 2010. <<span style="font-family: Arial,Helvetica,sans-serif;">[] >. <span style="-webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px; font-family: 'Times New Roman',Courier,Helvetica,Arial,sans-serif; font-size: 12px; line-height: 24px;">