A Case Analysis of AMC
AMC is the largest movie theater operator in the world. AMC recently became a popular meme stock. You may learn more about www.amctheaters.com
Construct a five-page analysis of AMC Theaters using the following criteria.
• Analyze the market before the COVID-19 pandemic. Describe how the pandemic affected the movie theater industry.
• Explain price discrimination in the movie theater market.
• Movie theater employees are generally paid hourly. Design an incentive pay structure for AMC Theaters and explain how it would work.
• Apply the concepts of economies of scale and economies of scope to AMC Theater’s business model
• Apply the concepts of game theory to short selling and meme stocks as it relates to AMC Theaters
• Assess AMC Theater’s potential for international expansion and potential trade policy issues.
• Explain the asymmetric information issues that lead to short selling and meme stocks.
• Apply the concepts of moral hazard to short selling and meme stocks, using AMC as an example.
