It makes no sense from a classical economics perspective to keep the theater empty. Even if no one is buying at the break-even price, it can make sense to sell below cost just to recoup some of the investment - and adjust the investment in the future, of course.
Now, in reality there are second-hand effects, of course - like people getting adjusted to the below-cost ticket prices and being even less incentivized to buy at the normal price.
Now, in reality there are second-hand effects, of course - like people getting adjusted to the below-cost ticket prices and being even less incentivized to buy at the normal price.