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PART I: INTRODUCTION
Chapter I. The Nature of the Industry
Definitions of the Industry
The Motion picture Industry, as defined "by the Code of Pair Competition for the Industry, includes,
".... without limitation, the production, distribution, or exhibition of motion pictures and all activities normally related thereto, except as specifically excepted from the operation of the Code."
The limitations in the scope of the Code are as follow:
"Nothing in this Code shall "be deemed to apply to the production, distribution, or exhibition of motion pictures on film of recognized substandard widths, or to slide films, or to nontheatrical motion pictures designed primarily for educational, scientific, industrial, commercial, advertising, selling, or other nontheatrical purposes, or to television of motion pictures, provided that the commercial production, distribution, or exhibition of such films shall be subject to investigation by the Code Authority to determine whether such production, distribution, or exhibition of such films is unfair competition to an established motion picture theatre or theatres. If found to be unfair competition, the Code Authority shall promulgate rules and regulations governing such unfair competition."
The Code covered "actor employees in vaudeville and presentation motion picture theatres" in "both permanent and traveling companies of artists playing presentation and vaudeville houses," but it did not cover "amateur" shows, "rep," "tab," "tent," "wagon," "truck" and "medicine" shows, "show-boat" or "burlesque," as these terms are understood in the theatre.
The Industry as defined by the Census of Manufactures embraces,
".... all processes and activities connected with the production of motion pictures, such as the photography of scenes, the development of exposed films, the printing of projection films, and other studio and laboratory work necessary in connection with the preparation of projection films for use."
Since Census of Manufactures data thus cover only motion picture production, they are not applicable to the entire Industry as defined by the Code, but only to the production branch of the Industry which is described in Part II of this study. The remaining branches of the Industry, distribution, and exhibition, are covered by the Wholesale Census and the Census of Service, Amusements, and Hotels.
Description and Scope of the Industry
The Industry as codified is composed of three major divisions of activity: production, distribution, and exhibition. These three economic divisions of this Industry are closely interrelated with and dependent upon each other. The production division covers all of the processes and activities involved in
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