Hollywood starts with an agent

Chapter 598 Testing the Waters First
Wu Yufeng, head of Aaron and Haihua Real Estate, is discussing the Global Plaza project in Beijing! (China World Hotel, China World Trade Center)
"There is land available for bidding on Jianguomenwai Street. We can consider building a mixed-use commercial building that combines shops and offices."

"It is also close to the China World Trade Center, and its geographical location is extremely superior. It is located in the core area of ​​Beijing's central business district. Beijing is developing very rapidly now, and there is a great demand for high-end office buildings."

Wu Yufeng explained to Aaron that he had done a lot of research beforehand.

Aaron nodded. The China World Hotel where they were now was part of the China World Trade Center Phase 1 project, which included the China World Trade Center Office Tower (which contains the China World Mall South Zone), the China World Hotel, the China World Apartments, and the China World Trade Center West Tower.
The second phase of the China World Trade Center will officially open at the end of this year, including two office towers (which also house the China World Mall Central Zone and the China World Ice Rink).

"Yes, we can. We'll develop it as soon as possible. In addition to the comprehensive office building in Dongcheng District, I also want to build a commercial building and supporting high-end apartment villas in Chaoyang District."

"Haihua Real Estate's investment this time will be no less than $5 million. I want to make the BJ Global Plaza Center a landmark building in Beijing."

"The design proposal can be put out to tender!"

As Aaron spoke, he tapped the table, revealing his immense ambition.

“$5 million?” Wu Yufeng was surprised.

"Yes, it will only increase, not decrease..."

After talking with Wu Yufeng, Aaron returned to Wang Zhuxian's room. "Is the matter in Shenzhen settled?"

Wang Zhuxian nodded from the sofa, "Everything's taken care of. I even took the opportunity to visit Xinke."

"Otherwise, I would have gone back to Beijing earlier. By the way, Rush Hour 2 is showing here now, right?"

“Yes, it just premiered,” Aaron leaned back on the sofa and shook his head, “but it’s not very significant. Star Wars: Episode I – The Phantom Menace only grossed 33 million RMB in mainland China.”

"If we consider the light at the end of the tunnel, 'Entrapment' only grossed 2900 million RMB."

Why is it not very meaningful? Because China currently only has 10 slots for imported revenue-sharing films, and the production company's share of the box office revenue is only 13%.

The entire mainland market doesn't even compare to the profits provided by Hong Kong alone, let alone the entire Taiwan province!

Star Wars: Episode I – The Phantom Menace grossed $430 million in North America and $920 million worldwide.
"Entrapment" grossed $9000 million in North America and $2.2 million worldwide.

Of course, Dawn's best-performing film this year is definitely "The Sixth Sense," which grossed $2.9 million in North America and $6.7 million worldwide.
With a production cost of $5000 million, the phenomenal success of "The Sixth Sense" speaks for itself.

Pixar's "Toy Story 2" was also a huge hit, grossing $2.4 million in North America and $4.8 million worldwide!
Wang Zhuxian smiled. "I heard that film imports are an important topic in the bilateral trade negotiations between China and the United States."

"I think things will definitely change!"

Aaron shook his head. "The market isn't big enough. Adding a few more film slots won't make a difference. The North American box office market was $67 billion last year, with growth rates of 9.5%, 8.7%, and 10.2% for the past three years."

“In mainland China, how much is the annual box office market now? Last year it was 14 billion RMB, and the movie Titanic alone made 3.6 ​​million RMB.”

This year, China's film market has shrunk further, estimated to be less than 10 billion RMB. A market of this size is unlikely to attract the attention of Hollywood.
As for the rest, we mainly rely on VCDs!

"The Asian market right now is mainly dominated by Japan and South Korea, right?"

Wang Zhuxian inquired. Aaron sighed, "That's right, there are some from Japan, South Korea, Hong Kong, Taiwan, Singapore, Malaysia, and Thailand as well."

"By the way, I've already instructed Haihua Real Estate to start their project in Beijing as soon as possible."

"The Huanya Headquarters Building project in Chaoyang District should be the first to start, and it will also include a luxury apartment."

"The Global Plaza Center project in Dongcheng District will take longer; it's a large project."

Of course, this can't compare to the Shanghai World Financial Center and Shanghai World Plaza!
“Yes,” Wang Zhuxian then poured Aaron a glass of wine. “The Chinese-language film ‘Not One Less’ won the Golden Lion Award at this year’s Venice International Film Festival.”

"It also grossed 3000 million RMB at the domestic box office. Will Dawn be able to import it?"

Because Zhang Yimou's two films this year, "Not One Less" and "My Father and Mother," were withdrawn from the Cannes Film Festival;
Subsequently, it was decided that "Not One Less" would participate in the Venice International Film Festival, while another film, "My Father and Mother," would be screened at the Berlin International Film Festival early next year.

Aaron smiled and shook his head. "Currently, Dawn Studio doesn't pay much attention to works with realistic themes about China."

"The commercial value is too low. We're interested in kung fu films, especially Chinese-language films!"

"Has Ang Lee's 'Crouching Tiger, Hidden Dragon' not finished filming yet?"

"Not yet," Wang Zhuxian smiled, "but it should be soon."

"Also, I took your advice and established a Media Asia brokerage department in mainland China, which is quite innovative."

Media Asia Entertainment is now a conglomerate with two main businesses: Media Asia Films and Media Asia Entertainment.
"Yes, the film industry here is still in its early stages; it's a time of laying the foundation."

“Media Asia has money, so there are many things it can do.”

However, according to Aaron's understanding, China's entertainment industry is highly divided into different subcultures, and Media Asia will probably have to pay a lot of tuition fees!

Currently, in mainland China, only Zhang Yimou and Feng Xiaogang's works have some box office success, especially Feng Xiaogang's Lunar New Year films.
The rest are either Hollywood movies or Hong Kong films.

“Right now, we mainly invest in TV dramas in mainland China. Our movies are still primarily based in Hong Kong, but we do film them on location in mainland China,” Wang Zhuxian said.

Aaron rubbed his temples. "Hmm, TV dramas are good too. They don't have much box office revenue in mainland China right now, so investing in TV dramas is a safer bet."

"Furthermore, the film industry in Hong Kong is sluggish, and filming costs have dropped significantly. Filming on the mainland might not be enough, so co-productions could be a better option."

"Let's give it a try. Find a Hong Kong director, a big-name Hong Kong male lead, and then cast a few mainland actors for the supporting roles. Invest 20 to 30 million RMB to shoot a commercial action film and see if it makes a box office success."

Now, an investment of over ten million is considered a big production for this place.

Wang Zhuxian thought for a moment, "That's a good idea. Right now, many people in Hong Kong, whether they're in front of or behind the camera, are out of work, but the pay isn't that high..."

(End of this chapter)