Are ticket resellers hurting small theater companies?

Using box office software that caps resale prices or blocks transfers to third-party sites does help smaller theaters protect their revenue, though it requires upfront investment they often can't afford. Resellers definitely hurt because they scalp tickets for popular shows, meaning the theater loses that markup money while customers get priced out and blame the venue. The real issue is that small theaters don't have the legal resources to fight it like bigger chains do, so they end up eating the loss or watching their audience shrink.