Digital products and internationalization: A case study of Bollywood film distributor Eros International

Abstract

The purpose of this thesis is to add to the existing internationalization literature by explaining if and how digital distribution channels can contribute to export growth of Bollywood movies. This study is approached by a case study of one of the dominant Bollywood distributors: Eros International Plc. After an introduction to the industry and company, the internationalization process of Eros is contrasted with internationalization theory and the characteristics of digital goods. The main findings include that the internationalization process can largely be explained by the presence of the Indian diaspora. Eros fulfills a demand from a specific group for Bollywood entertainment through alliances with local digital platforms. Digital distribution allows Eros to familiarize new customers with their content in a way that the customer can relate to. By online monitoring, Eros can learn relatively inexpensive about their customer and anticipate on future preferences for content. This case study contributes to the research on a largely overlooked industry, yet one of growing importance. It sheds light on how demand from a certain group for a particular product can motivate a firm to internationalize, in contrast to a case where a firm tries to create the demand. This study also highlights the importance of embracing digital distribution in the Indian entertainment industry. The user patterns in the entertainment industry are shifting, and entertainment firms need to react to these changes.