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The Luxembourg film industry seen through the lense of Porter's theories on competition and performance

September 2009

Title: The Luxembourg Film Industry seen through the lens of Porter’s
theories on competition and performance.
Author: Ragna Arny Larusdottir
Advisor: Bjarni Jonsson
Institute: Bifrost University
Course: Master Thesis in International Business – 30 credits
Purpose: The purpose of this study is to extract the key success factors for a
Luxembourg Film Company by doing analysis of the Luxembourg film
Methodology: This master thesis is a case study of the local film industry in
Luxembourg also within the greater context of European and World
film markets. Qualitative, statistical and literary data was used. The
information from the research was then put into analytical frameworks
of Michael E. Porter in order to get a clear picture on the industry from
different perspectives.
Summary: The Luxembourg film industry has been busy mostly with coproductions
in the last 20 years. A new generation of local filmmakers
has emerged and they want their films to be seen beyond the borders of
Luxembourg. In this assessment on the Luxembourg and European
film industry it becomes apparent that competition has focused more
on the funding institutes than the audience. This is due to the fact that
films are almost fully financed through various film fund systems
rather than by admissions revenue. By using the information from the
analysis, suggestions are made on both firm level and government
level on what changes could help to bring the films of the future closer
to the audience as well as how to enhance the industry environment for
maximum efficiency.


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