1982 Started from Hong Kong

Chapter 112: Millions of Dollars
"This Man From Earth" did not get all the resources of "Jigong" after all.

If a beautiful woman keeps flirting with you and you refuse to respond, she certainly won't continue to flirt with you.

Zhai Yuan and Guan Weiming never responded to the olive branches thrown by several theaters, so the movie was only released for a week, and most of the original 39 theaters had their screenings cancelled.

The second week was just halfway through, and the only theaters still showing "The Man from Earth" were independent theaters like Jin Maoping.

Fortunately, because it is a locally produced film, unlike last year's Western film "Jennifer's Revenge", although all the actors are white, independent theaters have not received any notice to suppress this film.

So there are still fifteen theaters that continue to show this movie, with one or two shows per day.

"The movie has not been completely taken off the screen yet, but the local box office has already accumulated more than 13 million."

When Peng Jiayan saw the report in front of her, she felt the muscles at the corners of her eyes twitching slightly.

The feeling of frustration stuck in her chest, making her want to punch twice to relieve it.

Forget it, it's pretty flat...

"Including the overseas box office, it's over 30 million~"

Zhai Yuan smiled and stabbed him again.

The overseas box office of Hong Kong films is mainly concentrated in Taiwan, Singapore, Malaysia and Thailand, while the situation in Japan is another matter.

For overseas box office giants such as the United States and Canada, Zhai Yuan will sell the entire movie and get a share of the profits. The profits haven't been calculated yet, but it is estimated that they won't be very high. After all, the journey is long and the box office is not transparent, so what others say is what it is.

In general, the current domestic and overseas box office has accumulated to more than 30 million. Even if the movie is not withdrawn, the attendance rate will slowly drop and it is unlikely to increase significantly.

So as of today, we can basically calculate the revenue that this movie has brought to Zhai Yuan.

Converted into Hong Kong dollars, the current total box office, including domestic and overseas, is more than 34 million Hong Kong dollars.

It is worth mentioning that Taiwan’s tax on Hong Kong’s film and entertainment is levied at the same rate as Mandarin films, which have the same origin. Even though the films are all starring foreign actors, the tax rate is still only 30%, and is not levied at the 60% rate on imported films.

In Hong Kong, the tax rate is still ridiculously high at 50%. The foreigners don’t even have to open a cinema, but they still get a share that is almost the same as that of the theater chains.

"No wonder you spent 1.5 billion on military expenses in Hong Kong last year, and you plan to spend even more this year. Damn, you spent so much money but didn't even wipe out Xinji and the Number Gang! You're on the verge of collapse!"

Deduct various taxes, miscellaneous copies, etc.

In the end, the domestic profit of "This Man From Earth" was over 2 million, and the overseas profit was over 6 million, which added up to over 9 million Hong Kong dollars.

"There is still money to be made from movies."

In addition to the nine million, Zhai Yuan now also owns a cassette factory that he purchased with overseas buyout funds.

The revenue from this movie alone successfully made his net worth over 10 million.

"Director Peng, you need to keep working on it. I hope your movie While You Were Sleeping will achieve better results after it's released."

After settling the accounts, Zhai Yuan tried to encourage the dejected Peng Jiayan, but received a big eye roll from her in return.

With a domestic box office of over 13 million, it is undoubtedly among the top ten or even top five box office films this year.

To achieve better results? Pang Chia Yin thought it would be easier for her to just go back and inherit the family business.

"My scenes have almost been filmed, and what remains is editing."

After a pause, she said unconfidently, "But don't hold your hopes too high. I'm sure I don't have your results, but I guess at least I won't lose money."

It was not until she shot a feature film for the first time that Pang Chia-yin realized her shortcomings in all aspects. She was especially discouraged by Zhai Yuan, who was also a newcomer and even worse than her. She began to doubt her life.

The words spoken at this time also had a dejected tone.

“It might actually be a loss.”

Zhai Yuan smiled at Peng Jiayan, then told her the bad news: "Your movie has Liang Xiaolong in it, so you can't even enter the Formosa Market."

Peng Jiayan's eyes widened immediately: "Didn't you sign a letter of repentance?"

"Don't talk nonsense. The letter of repentance was clearly signed by Guan Weiming. I am a man of integrity and innocence! And even if I signed it, it can only represent the position of my company. Unless you ask Liang Xiaolong to sign a letter of repentance as well, you can only blur his face."

"What if I learn from you and make Liang Xiaolong sign a letter of repentance as you did to Guan Weiming?"

"Liang Xiaolong will not sign, otherwise it would not have been banned for so long. Even if he is willing to sign, it still cannot be released in Taiwan."

In order to make Peng Jiayan give up completely, Zhai Yuan waved at her and whispered a few words into her ear.

Looking at Peng Jiayan whose face changed drastically, he smiled and said, "Now you know why."

"you you you!"

Peng Jiayan looked at Zhai Yuan with horror, pointed her finger at him and said, "You will be shot if you do this!"

"What are you afraid of? Can they still bring troops into Hong Kong? At worst, they can just give up the Formosa market temporarily."

After Zhai Yuan finished speaking, he comforted Peng Jiayan: "You don't have to worry. Although I don't have the ticket base of Taiwan, I have recently had a lot of dealings with the theater chains in the United States and Canada. I have discussed with them that we can cooperate to set up a theater chain in the United States and Canada. Although there are only two or three small theaters at present, this is a channel for selling movies and videotapes overseas. In the next few years, there will definitely be a market for videotapes. Your movie will not lose money."

Pang Chia-yan was still staring at him with horror, no longer caring whether the movie would lose money or not.

She was still immersed in the whisper that Zhai Yuan had just said to her.

You want to play red songs in Taiwan? You're risking your life!
…………

After its fourth week of release, the popularity of "This Man From Earth" gradually faded and it was taken off the screens of various theaters.

As Zhai Yuan expected, the total box office at home and abroad did not break 40 million in the end.

“The local market is not working!”

In the office of 91 Entertainment in Kwun Tong office building.

Zhai Yuan is using Guan Weiming's identity to sign orders with major cassette manufacturers.

At that time, there were more than 100 cassette rental and sales stores in Hong Kong. The most famous one was Quick Video, which was established just last year and had four chain stores. American companies like Blockbuster had not yet invaded the local market, and the video tape market was still a mess.

"Ninety-six stores only need 70,000 videotapes in total. I'm producing them based on a million tapes. Don't waste them."

Zhai Yuan was complaining to Guan Weiming beside him like a chatterbox.

"The local market is like this. There are only a few people in total, and they can buy more than 50,000 boxes. This sales volume is already quite impressive. Moreover, videotapes are a long-term market. Even after a year or so of film release, there are still people buying cassettes, and new orders will not stop."

Guan Weiming explained to Zhai Yuan a few words, then said with a smile: "Also, the video tapes are mainly focused on the overseas market. This time, merchants in Taiwan have ordered 160,000 boxes, and new merchants have called us. I don't think we need to worry about the problem of overstocking for the time being."

Baodao has counted the number of cassette rental and sales stores at around 400.

"How many videotapes have we produced so far?"

Zhai Yuan turned and asked Guan Weiming.

"There are 300,000 boxes."

"If we sell all three hundred thousand boxes, can we make ten million?"

"It should be about the same."

Guan Weiming frowned and calculated, then added: "But the premise is that these cassettes can be fully consumed by the Southeast Asian market."

“It does sound like it would make more money than the movies.”

Only after he had his own production line did Zhai Yuan realize that video cassettes could be considered a highly profitable industry.

If we exclude copyright and other fees, and deduct materials, labor, and machinery, the cost of a tape is about 40 to 50 Hong Kong dollars.

But it can be sold for more than 90 yuan.

In this regard, the Hong Kong government only collects 7% to 10% profit tax, and all import and export tariffs are reduced, which is far less than the entertainment tax.

However, when it comes to entertainment taxes, the dance halls and other entertainment venues in Taiwan have taxes as high as 100%, leaving little room for profit.

Theoretically, if Zhai Yuan could sell all one million videotapes, he could earn at least tens of millions of Hong Kong dollars.

But this is only in theory, because the majority of videotape sales are in the United States, and the rules there are different from those in Southeast Asia.

In the United States, if you want to do distribution by yourself, you will be eaten up in minutes without a strong background, so you can only look for local distribution companies. At this time, the legendary "Disney Home Entertainment Business Distribution Department (Buena Vista Home Entertainment)" will most likely come to your door and ask you to pay a 30% distribution fee first, and then calculate other commissions. In the end, even if they don't cut you in half, they will most likely cut you off from the thigh.

"An order of 300,000 boxes should be the limit in East Asia."

Zhai Yuan has no plans to wait for orders to come in the long term.

He then asked Guan Weiming: "How is the contact with America going?"

"Disney wants to buy outright the rights to distribute videotapes in the United States for a flat price of $600,000."

"You're dreaming. Either one million dollars or five hundred thousand videotapes. Keep talking to them."

Guan Weiming is a veteran in this industry and has dealt with overseas distribution companies before, so it would be most appropriate to let him do this kind of thing.

Zhai Yuan felt that since they had already made 10 million at the box office, they could make at least another 20 million from the videotapes, otherwise why would they have hired a group of foreigners to make this movie.

It is targeting the European and American markets.

Just at this moment, Peng Jiayan walked in from outside.

"Zhai Yuan, I have finished editing the film "While You Were Sleeping". Can you release your videotape to Taiwan later?"

Her voice was weak and her eyes were red. It was obvious that she had worked overtime and stayed up late to edit the film.

"Didn't I tell you that Liang Xiaolong is in your film? Even if I don't offend Formosa, they won't let your film in."

"I know, but we also have local theaters. Didn't you show your film in Golden Harvest and Golden Princess before? Can you help me contact them? I want more people to see my first movie."

She doesn't care about the box office, but only cares whether anyone watches the movies she makes, which is indeed in line with her character as a rich girl.

Zhai Yuan felt somewhat helpless. When he produced the film While You Were Sleeping, he initially just wanted to promote the theater he rented. However, a lot of things happened in the middle and the film was no longer that important.

But seeing Peng Jiayan looking at him eagerly, he knew that this girl was in trouble.

Seeing that her eyes were red from staying up all night, she must have never suffered such torture before.

"Uncle Ming, you still have to show up in public once."

Zhai Yuan had no choice but to say a few more words to Guan Weiming: "While you are still a little bit popular and are a member of the Freedom Association of Flops, take a copy of While You Were Sleeping to meet the heads of Golden Harvest and Princess Golden tomorrow and tell them separately that you plan to make a living with them. This movie is the Warlords, but Liang Xiaolong was accidentally used in it. See if you can ask them to help distribute it locally."

Guan Weiming just listened and felt like he was about to break out in a cold sweat.

I cheated Zou Wenhuai and Lei Juekun, two big Buddhas, at the same time. What if I was killed by a hidden trick?
"Don't worry, after you handle this matter, you can retire and concentrate on producing our videotapes. At that time, I will take the initiative to stand up and reveal my true identity as the boss of Jiuyi."

Zhai Yuan patted Guan Weiming on the shoulder to comfort him, and then said to Peng Jiayan, "How about this? Are you satisfied with this handling method? But I estimate that I can only deceive them for two weeks at most, because by then I have to deliver the goods to Formosa, otherwise I will have to pay the penalty for breach of contract."

Peng Jiayan hesitated for a moment and looked at Zhai Yuan with a complicated look.

After a moment's silence, she looked impatient and waved her hands irritably.

"Forget it, this sounds like a very troublesome matter. I'll just listen to you and not release this movie in Taiwan. Let's sell the cassette through theaters in the United States and Canada."

"Are you afraid of causing trouble for me? Don't worry, I dare to put Easter eggs in the videotape, so I am not afraid of offending two more local theaters. Anyway, no matter whether they are offended or not, they will not dare to cooperate with me again in the future."

Zhai Yuan grinned nonchalantly and changed the subject: "Are you touched? Consider signing with my company to be a director. Next, I plan to open a local cinema chain. When the time comes, I will ask your father to invest tens of millions or even hundreds of millions of dollars to play around."

Peng Jiayan was so moved that her face instantly fell when she heard these words.

Why does he always ruin the atmosphere at critical moments!

(End of this chapter)