“It was only in 2002 that the government began to grant licences enabling private companies to produce films independently. Prior to that, they had to work with the state-owned studios.”

“Last year marked another milestone – the first entry of private equity into the film business”

“Now past the start-up stage, [China’s private film studios] are hungry for capital to enable them to expand.”

“[China’s] box office […] has quadrupled to $459m in five years.”

“China’s banks […] started lending to film companies around three years ago”

“Many companies in the industry, including the leading ones such as Huayi Brothers and Polybona, still need to improve their business process management. This is the main reason many investors hesitate.”

“Censorship, piracy and the lack of a film rating system make it difficult to even produce or release in the market, let alone get an accurate picture of profitability.”

“I optimistically believe the issue of DVD piracy in China will be solved in three to five years, as the DVD business will decline. Internet and video-on-demand will bring more income for film–companies.”

“To attract more private equity into the film businesses, Wang believes three factors will play a crucial role. First, an increase in multiplexes will push forward movie-going and neighbouring retail businesses. Second, on the production side, there should be continuing growth in the supply of films. Third, film companies should work with new-media firms to explore new revenue models.”

“The best way for the government to help the industry is to ease restrictions and let the market make the best evaluation”

Screen Daily ~ Asian Film Finance 2008 – Ventures into China (01.10.2009)