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But that does not include promotion costs, subsidies and other incentives.
A product price is based on development, production, storage, transport and promotion costs.
For example, action movies typically have higher production and promotion costs than romance film.
Marketing and promotion costs were an estimated $60 million.
"The advertising and promotion costs have become astronomical."
The insurance industry must finance overhead and promotion costs; the Feds simply update their computers.
The company attributed the earnings decline to advertising and promotion costs needed to stimulate sales in a recession.
There is also a category called 12B-1 funds, which assess an annual fee, normally 1 percent of assets, for sales promotion costs.
However, it said its film business still posted a loss because of promotion costs tied to movies like "Monster House."
This plan contains information about the promotion costs and activities and is part of the tactical plan.
Unlike new titles, which involve a writer's advance and promotion costs, backlist sales come without too much new investment.
The squeeze on margins was caused by a rise in holiday promotion costs and higher distribution and handling costs.
And Hollywood studios, which made most of the films, will probably derive little benefit from the record because their own production and promotion costs have soared.
Sponsoring the tour means that the company assumes a lot of advertising and promotion costs, and in return promotes itself successfully in its major markets.
"Let's price new-artist titles where they deserve to be, based on recording costs, video costs, promotion costs, etc.
Marketing and promotion costs - Video clips, public relations, tour support, marketing campaigns, promotion to get the songs played on the radio, etc.
The company attributed the increased losses to higher staff and promotion costs associated with Abuzz Technologies Inc., which the company acquired last year.
The labels will do the mastering, prepare the tape for downloading, supply artwork and liner notes to the digital music services, and handle promotion costs.
The Post's circulation climbed in Mr. Murdoch's first year, but promotion costs and advertising shortfalls dramatically accelerated losses to about $10 million.
He continued to push for more circulation, paying the delivery cost to sell papers sometimes hundreds of miles from New York City and spending millions in promotion costs.
The company's chief financial officer, Leonard P. Forman, later said he was referring to some marketing and promotion costs, as well as expenses like photocopy paper.
Marketing and promotion costs are high: good placement in retail stores can cost up to $250,000, and promoting a single Top 10 hit to radio stations can cost millions.
The phenomenon of co-op advertising was born during the Depression, when book sales dropped sharply and publishers and bookstores willingly joined hands to share advertising and promotion costs.
But with lower royalties rates typically paid to artists and lower production and promotion costs, independent labels generally can turn a profit off lower volumes of sales than a major label can.
But lately that time has been shrinking, as studios hurry films on to video stores to take advantage of scheduling opportunities or, as is increasingly the case, to help raise revenues to pay off huge production and promotion costs.