When Xiao Yunhai heard this, he immediately understood the Number One Chief's meaning.
That was right. Not only in Hua Xia, but also in Europe and America, there was obviously a problem of too many wolves and too little meat. The movies produced by film companies were not enough to be screened in theaters, let alone blockbusters. Other than the powerful large companies, very few other companies would spend huge amounts of money to produce blockbusters.
Take "The Battle of Red Cliffs" for example. The script was very good, and there was more than a 70% chance that it would make money, but still, no company was willing to take the risk to bear more than a billion yuan alone.
Why? It was because they were worried that they would not be able to get back their investment.
If a movie with a billion yuan investment wanted to make a profit, the box office would have to be at least 2.5 billion yuan. Otherwise, it would be a loss.
The reason why this happened was because of the cinema chains.
In this world, whether it was in Hua Xia or other countries, the box office quota for the first week was 57% to 43%, and it would only increase in the second week.
However, in the fierce market competition, the lifespan of a movie was only two weeks. Even a super movie like "Infernal Affairs" only lasted for three weeks. Among them, the box office of the first week accounted for more than 60% of the total box office.
The cinema chains had a 57% ratio, so they naturally had a huge advantage. As for the 43% of the production company, after deducting the publicity, distribution, and entertainment tax, the profit they could get was only between 20% to 30%.
Even though there were more and more movie fans and the market was getting bigger, there were not many movies that could really make a profit. It was good enough to get 10% of the profit.
When Zhao Mingsheng chatted with Xiao Yunhai, he often joked that he was a big capitalist who squeezed film companies.
Although it was a joke, it also showed the seriousness of the problem. One had to know that Hanhai Film Investment Company was one of the top ten entertainment companies in Hua Xia. Even they felt this problem, let alone other companies.
Xiao Yunhai smiled bitterly and said, "Sir, since the government has already found this problem, they must have come to a conclusion. Why ask me? You know, it's not convenient for me to talk about this matter. "
The First Minister pointed at Xiao Yunhai and smiled. "You're really cunning. Didn't you see that I didn't even bring my secretary? I just don't want our conversation today to reach the fourth person's ears. Yunhai, although you're only 25 years old, you're the number one actor in Hua Xia's film and television industry. Plus, you're in the picture, so you definitely have a unique explanation for this problem. Therefore, I hope that you can talk about this matter from an objective point of view, just like last year, without any scruples. This is related to the healthy development of the film industry in Hua Xia. "
When Xiao Leshan saw that the Number One Chief valued Xiao Yunhai's opinion so much, and that Xiao Yunhai was still hemming and hawing, he couldn't help but scold, "You brat, put away your identity as a big capitalist and talk about the facts. Don't play dumb."
Xiao Yunhai shook his head and smiled bitterly. "Grandpa, the matter that the Chief is asking about may involve trillions of capital. How would I dare to speak carelessly? However, there's one thing I'm sure of, and that's that the cinema chain has indeed obstructed the development of the film industry. In fact, it's not only in our country, but also in other countries. Previously, those small and medium-sized film companies in the United States carried out three joint boycotts against the cinemas, but unfortunately, they were all defeated in a very short period of time. Our Huaxia Film Company is already very gentle in comparison. "
At that time, those small and medium-sized film companies in Hollywood joined forces to pressure the eight major film companies in order to get a larger share of movie profits.
If you don't change the quota, we won't show the movie to you.
Although the eight major film companies in Hollywood were very powerful, it was impossible for them to make enough movies to be shown in cinemas. Therefore, more than 70% of the movie source fell on these small and medium-sized film companies.
In the face of this situation, the eight major film companies used a very simple method. They found the leading company and promised them some benefits, causing a rift to appear inside them. Then, the problem would naturally be solved.
They resisted three times in a row, but none of them lasted for more than two days. They came quickly and left even faster. They didn't cause any waves in Hollywood and were dealt with by the other party. It could be said that they lost all their face.
Hua Xia's film industry had flourished in recent years. In the past, the government strongly controlled the cinemas, so there hadn't been any major problems.
But this year, with the entry of foreign film companies, the competition in the film market was unusually cruel. Many Hua Xia companies were afraid of losing all their money, so they were very careful in the production of movies. Therefore, although the quality of the movies was high, the production was much lower. As a result, the quota problem was particularly prominent.
If they didn't increase the profit ratio, no one would dare to make movies. In the long run, Hua Xia's film market would be finished.
The First Chief looked at Xiao Yunhai with appreciation and said, "As a shareholder of the cinema chain, you can say these words, which shows that you are sincerely thinking for the good of Hua Xia's movies. This makes me feel very gratified. Some time ago, there was an extra document on my desk. More than 30 film companies of all sizes jointly wrote a letter to the government to change the distribution ratio between cinemas and production companies. Your father-in-law, Zhao Mingsheng, was one of them. "
Xiao Yunhai was stunned and said, "He didn't tell me about this."
The First Chief said, "Maybe they have signed a confidentiality agreement. After all, the scope of this matter is too big. The fewer people who know, the better. Yunhai, if the government forcibly reduces the profits of the cinema chain, how will you react? "
Xiao Yunhai thought for a moment and said, "According to the rules, the government has no right to do so. It is very likely that it will be boycotted by all the cinema chains in the world."
Xiao Yunhai was not exaggerating. Once Hua Xia changed the quota system of the cinema chain and the production company, it would definitely cause a series of chain reactions. This was not just a matter of Hua Xia. It would also involve other cinema chains in the world.
Once Hua Xia's local cinema chain opened this gap, it was equivalent to forcing Korea, Japan, Hollywood, and other cinema chains to change at the same time. Otherwise, no company would show the movie in their theaters. In this way, they would face the consequences of not being able to show the movie. Moreover, the film companies in other countries would definitely follow suit. When that time came, it would definitely cause an all-out war between the production company and the cinema chain. The consequences would be very serious.
The First Chief nodded and said, "I understand what you mean. But if we don't do this, Hua Xia's film industry will never be able to flourish. There are more and more cinemas, but fewer and fewer movies. It can't satisfy people's needs at all. Moreover, this matter can't be delayed. The longer it is delayed, the greater the harm. "
Xiao Yunhai looked at the First Chief's determined expression and knew that he must have made up his mind. He said, "Chief, what do you plan to do? Directly force the cinema chain to change the quota system? "
The First Chief knocked on the table and said, "Food has to be eaten one bite at a time. Things have to be done step by step. I hope that you and your two partners won't do anything to obstruct the progress of the movie. “
Xiao Yunhai smiled bitterly and said, "Chief, I can only guarantee that we won't boycott. If you want us to be the first cinema chain to respond to the government, I'm afraid the two of them will never agree. Chief, can you tell me to what extent the profit ratio will be changed? "
The First Chief said bluntly, "The first week is 55: 45, the second week is 40: 60, the third week is 30: 70, and the fourth week is 20: 80. That's it. Since we're going to do it, we'll do it all at once. "
When Xiao Yunhai heard this, he immediately sucked in a breath of cold air. The government was too ruthless to let the cinema chain's profit share drop by 12% in the first week.
Just take the new Hua Xia cinema chain as an example. Reducing the profit by 12% was equivalent to handing over tens of billions of Hua Xia dollars to the film company.
In this way, the film company would be happy, and movies with big investments would definitely appear one after another. However, the cinema chain owners would probably cry.
Even Xiao Yunhai found it hard to accept losing tens of billions of dollars a year, let alone those businessmen who valued money as much as their lives.
After the First Chief finished speaking, he looked at Xiao Yunhai with bright eyes and said, "What's your attitude?"
Xiao Yunhai said seriously, "The position I've given myself is first and foremost a filmmaker, then a businessman."
A gratified smile immediately appeared on the First Chief's face and he said, "I'm really happy that you can think this way. I heard that your next movie is a disaster film called '2012'. It's said that it will break the world box office record. It seems that you're very confident. "
Xiao Yunhai said confidently, "It's not difficult to break the record. '2012' uses the latest 3D technology to shoot, which can make the fans feel as if they're in the movie. Success is inevitable. The only thing I'm not sure of is how successful it will be. My goal is more than 15 billion US dollars. "
The First Chief laughed and said, "You're ambitious."
Next, the two talked about some things about movies. Only then did the First Chief get up and leave.
Watching his car slowly disappear in front of him, Xiao Yunhai sighed and said, "A storm is coming for the movie industry."
Xiao Leshan patted him on the shoulder and said, "The trend is irresistible. No one can stop the trend of things moving forward."
Xiao Yunhai said with a smile, "I understand. It was only a matter of time before Huaxia's film industry broke free and regained its freedom. It's just that I didn't expect it to come so quickly, and I didn't expect the government to be so determined. Haha, this time, those cinema chain owners are probably going to be miserable. "
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