TY - GEN
T1 - Using Real Option Model to Evaluate Movie Investments Based on Social Network
AU - Sun, Bowen
AU - Wu, Yi
AU - Sun, Tong
N1 - Publisher Copyright:
© 2016 IEEE.
PY - 2017/1/12
Y1 - 2017/1/12
N2 - The world of mouth(WOM) plays a fundamental role in consumer decision-making, further influences corporations' future revenue., the estimation of future cash flow is an important factor when a company makes investment decisions. The common estimation is based on history revenue records, which is lack of validity. When deciding to see a movie, a consumer commonly goes to social platforms to check its rating, comments. WOM is a proper way to estimate future cash flow. This paper proposes a regression model between movies' box office, its WOM (panel data from social platforms like Weibo, douban) by using PVAR method, applies the model to the Black-Scholes real option pricing model, NPV pricing model, finally concludes the total value of movie projects. So this paper provides the investors with constructive investment advice based on social network, financial analysis, contributes to new financial models associated with big data.
AB - The world of mouth(WOM) plays a fundamental role in consumer decision-making, further influences corporations' future revenue., the estimation of future cash flow is an important factor when a company makes investment decisions. The common estimation is based on history revenue records, which is lack of validity. When deciding to see a movie, a consumer commonly goes to social platforms to check its rating, comments. WOM is a proper way to estimate future cash flow. This paper proposes a regression model between movies' box office, its WOM (panel data from social platforms like Weibo, douban) by using PVAR method, applies the model to the Black-Scholes real option pricing model, NPV pricing model, finally concludes the total value of movie projects. So this paper provides the investors with constructive investment advice based on social network, financial analysis, contributes to new financial models associated with big data.
KW - B-S Real Option Model
KW - PVAR
KW - WOM
UR - http://www.scopus.com/inward/record.url?scp=85013224760&partnerID=8YFLogxK
U2 - 10.1109/UIC-ATC-ScalCom-CBDCom-IoP-SmartWorld.2016.0165
DO - 10.1109/UIC-ATC-ScalCom-CBDCom-IoP-SmartWorld.2016.0165
M3 - Conference contribution
AN - SCOPUS:85013224760
T3 - Proceedings - 13th IEEE International Conference on Ubiquitous Intelligence and Computing, 13th IEEE International Conference on Advanced and Trusted Computing, 16th IEEE International Conference on Scalable Computing and Communications, IEEE International Conference on Cloud and Big Data Computing, IEEE International Conference on Internet of People and IEEE Smart World Congress and Workshops, UIC-ATC-ScalCom-CBDCom-IoP-SmartWorld 2016
SP - 1058
EP - 1062
BT - Proceedings - 13th IEEE International Conference on Ubiquitous Intelligence and Computing, 13th IEEE International Conference on Advanced and Trusted Computing, 16th IEEE International Conference on Scalable Computing and Communications, IEEE International Conference on Cloud and Big Data Computing, IEEE International Conference on Internet of People and IEEE Smart World Congress and Workshops, UIC-ATC-ScalCom-CBDCom-IoP-SmartWorld 2016
A2 - El Baz, Didier
A2 - Bourgeois, Julien
PB - Institute of Electrical and Electronics Engineers Inc.
T2 - 13th IEEE International Conference on Ubiquitous Intelligence and Computing, 13th IEEE International Conference on Advanced and Trusted Computing, 16th IEEE International Conference on Scalable Computing and Communications, IEEE International Conference on Cloud and Big Data Computing, IEEE International Conference on Internet of People and IEEE Smart World Congress and Workshops, UIC-ATC-ScalCom-CBDCom-IoP-SmartWorld 2016
Y2 - 18 July 2016 through 21 July 2016
ER -