Why Hollywood bows to China’s movie market

The film Terminator Genisys may not have been the blockbuster its creators had hoped for, following a stable but not record-breaking worldwide box-office yield of $324 million. The film has found new life in a market that is quickly becoming one of Hollywood’s favorites: China. The film opened this weekend, earning an impressive $27.4 million in its first day.

The success of films such as Genisys is the reason Hollywood has begun to pay more attention to Chinese movie-goers. Other films this year have benefited enormously from the Chinese market, including Furious 7, Jurassic World and San Andreas.

Some blockbusters, such as the most recent Michael Bay instalment,Transformers: Age of Extinction, are attempting to ensure that Hollywood’s newest market feels included, by finding plot devices to bring their characters to China. While localization still seems to be in need of some tweaking, the investment is paying off. Transformers set records and became 2014’s number one box-office performer in China. So far this year, Furious 7 has become the most successful film in Chinese history, grossing more than $379 million.

Hollywood is facing stiff competition in China’s own booming film industry. So far in 2015, only four of the top 10 films have been from Hollywood, with the Chinese film Monster Hunt grossing $346.2 million, and closing in quickly on Furious 7. Rather than compete, studios are anxious to grab a larger piece of the pie, through cooperation. Only this week, it was reported that Warner Bros is in talks to begin producing films in China, in cooperation with China Media Capital.

Have you read?
How diverse is Hollywood?
How can China find new routes to growth?

Author: Donald Armbrecht is a freelance writer and social media producer.

Image: A 21-foot tall model of the Transformers character Optimus Prime is displayed on the red carpet before the world premiere of the film “Transformers: Age of Extinction” in Hong Kong. REUTERS/Tyrone Siu