 The consumer does not really know how good the product is, until he or she has consumed it (think of a movie), and the producer is confronted with the typical uncertainty in a cultural industry.The consumer looks for guidance in the price, reputation, or a famous name on the cover or poster.As the producer understands this using a famous director, actor or singer affects demand, he or she is prepared to pay a lot for a name considered a sign of quality (a star).