"&

"It's really none of our business. That's the thing about making people. But...... David said. He knows this movie is important to you and Richard. So he won't put commercial interests first. I hope you will be satisfied with the publishers. In other words. The publisher's future distribution strategy and positioning. I need your nod. We are willing to cooperate with them. So ......" Rick explained the situation briefly. Let Hugo suddenly come to his senses.

I have to say that David Fen is a cunning old fox. "Before Sunrise" only invested two and a half million in the film. Even if you lose all your money. I don't have much to lose. So he didn't invest in movies with the idea that they could make money. It's more about the trust in Hugo. I also hope to be able to get on good terms with Hugo. It's a long-term investment.

The style of "Before Sunrise" is too artistic and unique. It is quite a real yàn nature. So I want to do well at the box office. It's almost impossible. It would be a sensible idea to hope that the videotape market would recoup its costs. So it goes. In fact, who exactly is the publisher. The impact is not big. Because the transaction amount of the copyright issuance is not much higher.

So. David emphasized the "distribution strategy and positioning", ostensibly at the expense of his own interests. Sought the independence of Hugo and Richard. It's all about the movie; But in reality, David did not sacrifice anything at all. It's just a matter of mouth. It made Hugo and Richard even more satisfied.

And most importantly. David now has no way to release it himself even if he wants to. Because DreamWorks doesn't have a distribution department at all. So David just did a favor at all.

Hugo has very limited knowledge of the distribution section. But he knows it deeply. Issuance is a crucial position for a company. Because DreamWorks, an independent studio that dominated Hollywood for a decade, will eventually be forced to sell. It's because there is no support from the distribution department.

The so-called distribution department. It's a very special department. Issuance. It is a bridge built between the company and the cinema chain. The main responsibilities of the distribution department are: copy, non-cinema, legal affairs, finance, financial management and operations, systems and sales operations, exhibition business, etc. Overall. is responsible for dealing with the theater chain. Responsible for the screening business with non-cinema institutions such as airlines, ships, military, schools, etc. He is in charge of sales and rental of video tapes after distribution. One word. The distribution department is responsible for promoting the works produced by the company.

Among the big studios. When a film project is set up and production begins. The work of the distribution department began. The marketing plan in the early stage must be coordinated with the publicity department. Unfold one after another. And when the copy of the work is ready. The test screening work was divided into the distribution department. Generally speaking. There are two types of test screenings. One is for insiders. Including company managers, directors, etc. will participate; One is to selectively find the general audience. Based on audience feedback. Make changes to the work

Same. The screening schedule is also the work of the distribution department. Last summer's "speed of life and death" competition in the screening schedule. It's the intrigue from the distribution departments of major film companies. Generally speaking. Hard-hitting. Or avoid the schedule. The distribution department has to test each other and develop strategies for each other. This is a job that requires a lot of experience and ingenuity.

Of course. For the distribution department. A very important job is to deal with theaters. They are responsible for negotiating cooperation with major theater chains in the United States. Make an agreement on box office dividends for the release of the film. Proportion of benefits to be distributed. This is the core question. This is one of the most important tasks of the distribution department.

All in all. The distribution department is not a simple job. It's a lot of work. In the film industry. Everybody knows. Who controls the distribution channel. Who is the real king. Hollywood's Big 8 studios. Compared to the strength and excellence of their production department. The distribution department is their biggest trump card.

Generally speaking. The film industry can be simply and crudely divided into four parts. Production, distribution, screening, follow-up peripherals. These four links are the core links that generate benefits. Issuance. It's the core that connects all of these links. This has directly given birth to companies corresponding to each link of the film industry.

At the very beginning of the birth of cinema. The film company is basically a one-handed company. But after the Antitrust Act was announced. The screening session was the first to be divided. As a result, major cinema groups were born. Specializing in the film screening segment. Subsequently. With the maturation of the film industry. Professional publishing companies have also emerged. Or a company that started with distribution and later joined the ranks of the company.

in Hollywood. Due to the complexity and cumbersomeness of the work involved in the issuance process. So there are a small number of film companies that don't have their own distribution departments. The most famous of these are Pixar and DreamWorks. Both companies are single-mindedly focused on filmmaking. The distribution process is in cooperation with major film companies. This is not a problem for early development. But wait until the company has developed to a certain stage. The distribution department would then become a shackle to their further development.

Because the distribution department is the core institution that holds the initiative of its own interests.

Pixar has been working with Disney for many years. But after fifteen years of collaboration. Disney tries to continue to limit Pixar's box office dividends. Bullying Pixar is not capable of building its own distribution network. insisted on only being willing to give Pixar a seven-percent box office dividend. It's far below the 15 to 25 percent level that the industry gives to production companies. The result angered Pixar CEO Steve Jobs. He refused to continue to sign a cooperation agreement with Disney. This move indirectly led to the ouster of Michael Eisner, the "tyrant" who has controlled Disney for more than two decades. Then the Disney board of directors made up their minds. Acquired Pixar directly. This is the end of this farce.

Equally. The same goes for DreamWorks. From its establishment in 1994 to its forced sale in 05 due to financial problems. In the past 11 years, it has created countless glories. It became a myth for American independent film companies. But. After entering 05 years. DreamWorks became a mess.

Since it does not have its own distribution department. DreamWorks' blockbusters are not able to share the lion's share. Because they also have to give a portion of their cake to the issuing company. It's worth the strapped amount of money that DreamWorks can utilize. Only then did he lead several successive works to fall into a financial quagmire after a box office fiasco. In the end, it was forced to sell.

Thereafter. DreamWorks was forced to split into a film division, a music division, and an animation division. Acquired by different companies. But that's not the end of it. The DreamWorks film division is still under the leadership of Steven Pearcger. Although the masterpieces continue. However, in just three years, three partner companies were replaced. From Paramount to Universal Pictures to Disney. And the latest news before Hugo crosses. DreamWorks will next be working with Twentieth Century Fox. It's like a hot potato.

Actually, it's not because the DreamWorks movie is not a blockbuster. It's because Steven is fighting with the issuing company for a one-percent dividend. Just one percent interest. So Steven, the most powerful tycoon in Hollywood, had to run around. That's the current state of DreamWorks. To be more precise. It is the status quo of Dream Factory, which does not have a distribution department.

Although this is the iron law of mall competition. But it's still embarrassing.

DreamWorks at the beginning of its establishment. Born with a powerful momentum. They aspired to be Hollywood's first truly independent film studio – without the involvement of major conglomerates. Guarantee self-independence. Dedicated to film, animation, and music. So they use words like "Dream Factory" to place their dreams.

In fact, DreamWorks has done just that. During the ten-year period from 1994 to 05. They are the most powerful new players in the whole of Hollywood. Strongly ranked among the "Hollywood's New Big Eight". But how did DreamWorks end up silent? There are many reasons for this. After all, the weakening of any company is not so simple. But one of the most important reasons is that there is no distribution department.

Since there is no issuing department. DreamWorks produces a work after each time. must seek the cooperation of major film companies. Rely on the distribution channels of major film companies to get the work out. In the course of this collaboration. Naturally, vampires who put profit first will not let go of the little lamb of DreamWorks. As a result, DreamWorks loses a lot of profit from each of its works. There is no issuing department. There are also no theaters. There is no follow-up surrounding development. DreamWorks, in particular, has the most lucrative animation division in the country. DreamWorks animation that is enough to compete with Pixar. But there is no corresponding follow-up peripheral system to create more value. It can only be divided with others.

DreamWorks is just a production company. They can only get 15 to 25 percent of the profits that belong to the production company. Other words. A movie is worth $100 million. And DreamWorks can only get 15 million to 25 million of them. Most of the heads are in the distribution company, the follow-up peripheral companies and the theater chain.

So. When DreamWorks has several major productions in a row that have failed. It is very difficult for them to have cash to work on – and they do not have the backing of a consortium. In the end, it led to the stormy DreamWorks falling into the bitter situation of being split and auctioned. 05 years later. Although DreamWorks still continues to produce excellent works. But they're not Hollywood's top players anymore. It's just an affiliate of a major film company. It was not until Lionsgate rose strongly that it was later. The Hollywood landscape has changed again.

Lionsgate started out as a distributor.

Hugo doesn't know much about the details of the distribution department though. But he knows how important the distribution department is to a film company. So. Hear Rick's explanation. Hugo shrugged. I think that's redundant. If only David's company had its own distribution department. So why should we seek cooperation? Their own distribution department simply knows itself best. Isn't it? ”

Rick was stunned by Hugo's "layman" words. He could only explain with a smile. Issuance is not a simple matter......"

"I know. Of course I do. Hugo nodded. I'm just saying. If DreamWorks had its own distribution department. Things will be much simpler. Isn't it? "If DreamWorks really built its own distribution channel. So will history change? Hugo was suddenly curious. Why didn't the three bigwigs, Steven, David, and Jeffrey Katzenberg, think about building a distribution department? .