1. Here’s what Nederlander’s chief operating officer has to say about its business model: “A show has a short lifetime. You go and sell two months out, and the tickets have no value on any day but the day of the show. So it’s a very interesting model in that sense.” How do you think the short life of the company’s products affects its financial planning?
2. The company uses its own arenas and theaters about 90 percent of the time. What are some of the possible disadvantages of owning its own venues?
3. Why would Nederlander choose to sometimes borrow funds for expansion if it has capital of its own?