The Stranger has a provocative article about what theaters need to do to not suck. Less Shakespeare, more new plays, drop out of grad school, produce more fringe-style plays more frequently, and most important:
Build bars. Treat your plays like parties and your audience like guests. Encourage them to come early, drink lots, and stay late. Even the meanest fringe company can afford a tub full of ice and beer, and the state of regional-theater bars is deplorable: long lines, overpriced drinks, and a famine of comfortable chairs. Theaters try to “build community” with postplay talkbacks and lectures and other versions of you’ve spent two hours watching my play, now look at me some more! You want community? Give people a place to sit, something to talk about (the play they just saw), and a bottle.