AIMS

The aim of this article is to show that firms opt for temporal agglomeration
(entering the market at the same time as their competitors) when uncertainty
concerning the success of their products is particularly significant. An analysis
of the major Hollywood studios from 2000 to 2006 shows that these firms limit
uncertainty by adopting similar behaviours. Results show that a combination
of factors lead to the agglomeration of film release dates. Budgets and styles
are used as reference points by players in the industry; Oscar and day-off
effects are strong. Rules and standards relating to the process of selection
limit firms’ behaviour. More than a deliberate strategy, temporal agglomeration
seems to emerge from complex interactions, increasing competition and thus
decreasing the movies’ market performance.