THE MERCHANDISING OF MOVIES

The market for toy makers who license action figures and games from movies can be enormous or a bust, depending on the success of the movie. "Star Wars: Episode 1 ­ The Phantom Menace" disappointed some in the movie industry, according to The Woodland Hills Daily in metro Los Angeles, because it left a "glut of unsold action figures, toys and other collectibles." The problems encountered by "Phantom Menance" illustrate the financial pressures on movie makers, Lawrence Marquit, professor of marketing, told the publication. "I believe some films are being made exclusively for the purpose of merchandising materials like toys and school materials," he said.

ECONOMIC DOWNSLIDE LEADS TO MORE NEGATIVE EARNINGS SURPRISES

The recent downturn in the economy has resulted in more negative earnings surprises and has started the blame game by companies and analysts. Analysts, who continue to be wrong in their earnings predictions, blame companies for providing them with faulty guidance, while companies in turn blame analysts for failing to do enough homework on their businesses. "Earnings surprises are like cockroaches: you rarely see just one," Lawrence Brown, Distinguished Professor of Accountancy, told Business 2.0 in the June 12 issue. Part of the problem may lie in the fact that some "analysts tend to revise short-term earnings estimates without revising the long-term outlook," Brown said. Smartmoney.com also cited Brown as a consultant for a study on earnings estimate dispersions on July 13.

ANOTHER BILLING FOR BUSINESS HALL OF FAME

The Robinson College's recent annual Hall of Fame Awards received a follow-up billing by Business to Business magazine in the June issue, with a quote by Dean Sidney Harris: "These individuals (Pat Mitchell, J. B. Fuqua and F. Duane Ackerman) have had a significant positive impact on our community, setting a fine example for all of us to emulate."

TIP CUPS OFFER MOTIVATION, ENCOURAGEMENT

When the Atlanta Business Chronicle's Jim Molis looked for commentary for his column in the June 29-July 5 issue on the increasing number of "tip cups" at coffee shops and self-serve restaurants, he turned to the School of Hospitality's Dave Pavesic. Generally speaking, customers at coffee shops only give tips for above-average service or to unload undesired change, Pavesic said. He advised that while tips can offer additional motivation for providing good customer service and make employees feel more appreciated, companies should take notice of their patrons' reactions. If tip cups annoy customers, then employers may prohibit them. "Tipping somebody for making a cup of coffee is like going to the 7-Eleven and tipping the clerk for drawing you a Slurpee," Pavesic said.

HEALTH CARE COVERAGE LACKING FOR RECENT GRADUATES

More than half of America's young adults, many of them recent college graduates, go without health insurance for at least a month, The Atlanta Journal-Constitution reported on July 17. According to data from the U.S. Census Bureau, some 29 percent of adults from ages 18 to 24 went without health insurance for the entire year, the largest percentage for any age group. "Most health insurance today is offered through employers, and these people are least likely to be in the work force," Bill Custer, professor of risk management and insurance, told the AJC. Custer added that most people in this age group believe hospitals will take care of them in an emergency but he noted that quality and length of care are affected without insurance. The AJC also quoted Custer on May 20, citing the average cost for health insurance for a family of four in Georgia at $3,500 to $8,000 a year, depending on what is covered, the health of the insured and other factors.