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Does the star power matter?

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Abstract

This study investigates the role of superstars in the Korean movie industry. We apply a two-step approach: the first step is to test the significance of the star power during 1988-1999 in Korea; the second step is to estimate the magnitude of star power. The appearance of a star actor increases the probability of a hit or success by 15-19% and star power is higher than a director power. A domestic award is associated with positive performance. We find that the top 15 players among 68 actors and actresses significantly impacts on the success of movies.

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