during 2008-2009 has spurred the flood of capital into the film industry. The film industry of China will continue to grow at a rate of over 60% both in 2010 and 2011, while the growth rate will slow down after 2012. In Japan, the film market gets increasingly saturated, and the growth rate tends to be moderate. As is presented below, China will become the world’s second largest film market by 2012, with the domestic box office revenue surpassing Japan’s.
Comparison of China’s and Japan’s Box Offices and Growth Rates, 2005-2013E (Unit: USD mln)
Source: ResearchInChina
The film producers, distributors and exhibitors all have extended towards upstream or downstream in order to maximize its profit from every industrial link by the model of production+distribution+cinema. The mergers among leading companies in upstream, middle stream and