I'm just trying to ride the wave of popularity!
Chapter 342 The only person at the dinner table can be me.
Chapter 342 The only person at the dinner table can be me.
In late February 2006, the land of China gradually warmed up, and the harsh winter quietly receded.
Over the past year, China's internet has experienced explosive growth, with the number of internet users exceeding 1.1 million.
With the rise of emerging social platforms such as [Kuaibo] and Q-Dog Space, and the continued boom in the Zhongguancun pirated CD and assembled computer market, online forums have gradually become the mainstream social arena for young people.
This nationwide digital wave is subtly reshaping the cultural landscape of society.
At the same time, the booming development of the film industry has driven the rapid popularization of digital projection technology, and the total number of screens nationwide has quickly exceeded 6000, injecting new vitality into the Chinese film industry...
……
Times are quietly changing.
Some people, against the backdrop of the times, belatedly realized the arrival of the tide of the era.
However, there is always a group of people who have seized the opportunities of the times and grown wildly!
With Zhou Yang's films such as "The Domineering CEO Falls in Love with Me" and "Golden Wedding" continuing to dominate the box office, the customer traffic of [Xuanshi Mall] has exploded.
Following the success of Yanjing's "Xuanshi Mall", a new coal boss capital group led by Li Dachun sensed a business opportunity and launched a crazy expansion frenzy of "cinema + real estate".
They waved their cash and frantically acquired land in prime locations in 23 first- and second-tier cities across the country, spending nearly 10 billion yuan in just five months to plant the scarlet logo of "Xuan Shi Cinema" all over major business districts.
These nouveau riche investors disdain the sophisticated operations of traditional cinema chains, instead crudely replicating Zhou Yang's "movie-driven audience attraction + commercial real estate" model...
Every time they acquire a plot of land, they first build an IMAX theater to attract customers. Then, they develop strategic partnerships with other entertainment brands, such as restaurants, clothing stores, and supermarkets, around the theater. Finally, they use the gimmick of "Xuanshi Mall" and the trademark ID of Zhou Yang to sell off surrounding residential properties at high prices.
At a drinking party, Li Dachun drunkenly slammed his fist on the table and shouted, "I don't know anything about attendance, but I know that buying land with Zhou Yang is a sure thing!"
They even partnered with local governments to create a "movie-themed new town," attracting crowds with free movie tickets and turning some remote areas into hot spots priced at 0 yuan per square meter.
This unbridled growth quickly caused an upheaval in the industry, forcing the three major traditional cinema chains to follow suit and lower prices.
An industry insider lamented, "These nouveau riche are treating cinemas like real estate sales offices; they're bound to collapse sooner or later!"
In the public sphere, countless people condemned this shameless behavior, predicting that the entire real estate industry would be dragged into an abyss by this speculative whirlwind.
But those crazy coal bosses have long lost their minds. Instead of restraining themselves in the face of criticism, they are like a pack of wild beasts that have smelled blood, rushing even more frantically toward the dividends of the times, greedily tearing at every piece of fat meat!
..............................
[Tianyu] Headquarters.
Deng Baichuan sat quietly in his office, flipping through the new year's cinema market report.
Over the past six months, with the strong rise of capital led by Zhou Yang, the landscape of the entire Chinese film and television industry has undergone dramatic changes.
The once unbreakable film alliance crumbled overnight, with the five major entertainment companies turning against it one after another...
In this industry upheaval, Tianyu Media's situation is particularly difficult...
During that period, the stock price plummeted, the cash flow nearly dried up, countless investors fled the country, and employees were poached...
All of this led Deng Baichuan to even prepare for the worst.
But unlike its opportunistic peers, Tianyu chose to hold its ground and persevere until the very last moment!
He bet everything on the "Chrysanthemum Terrace" project, not only exhausting the company's remaining funds, but also mortgaging all his personal properties, clearing out his cash reserves, and even signing a betting agreement with the investors.
Despite the film only grossing $1000 million overseas and receiving polarized reviews domestically, ultimately failing to break even, it unexpectedly became a turning point for Tianyu Media…
The initial market enthusiasm during the film's release drove a rebound in the stock price, giving the company a crucial breathing space, which ultimately led to an investment from Hongsheng Capital.
The real turning point came from Xu Haibo's almost frantic lobbying in Hollywood and his efforts to secure assistance from Hongsheng Capital.
Tianyu Media successfully acquired the distribution rights in China for several Hollywood blockbusters, including Batman: Origins, and established strategic partnerships with international giants such as Warner Bros.
With Hollywood blockbusters like "Batman" and "Magic Academy 2" dominating the Chinese market at the end of 05, Tianyu Media, as the distributor, reaped the benefits and once again reached the top of the industry.
However, the price paid for this miraculous turnaround was brutal!
With the failure of the gambling agreement for "Chrysanthemum Terrace", Deng Baichuan completely lost control of the company.
Although he remains on the board as a founder, his role is largely symbolic.
Due to a special agreement signed with Hollywood, the company's original plan to develop its own IP was forced to be completely shelved in the first half of 2005. The board of directors completely adjusted its strategic direction, directly engaging with multiple Hollywood companies for distribution at the cost of the most expensive box office revenue sharing.
Behind the apparent success lies the fact that, for the same box office revenue, the actual profit is less than one-third of what it used to be, with the lion's share going to Hollywood companies and [Hong Sheng Capital].
Or, in a sense, the former Tianyu Media has now become a distribution channel for some Hollywood film companies in the Chinese market.
The morning sunlight streamed into the office through the window. Deng Baichuan silently put down the cinema market report and looked out the window with a complicated expression.
Just then, there was a knock on the door.
Li Minghao from Huaying International pushed open the door to Deng Baichuan's office, sat down in front of him, and silently took out a business plan.
“Old Deng, we can’t sit idly by any longer. In the past six months, Zhou Yang’s ‘cinema + real estate’ model has proven to be viable. The [Xuan Shi Mall] alone has driven up surrounding property prices by 30% in just one quarter, and the movie ticket redemption program has kept their occupancy rate above 70% year-round…”
Deng Baichuan flipped through the proposal, his brow gradually relaxing. The plan involved Huaying International partnering with Wanda Real Estate to build 50 integrated cinema complexes across the country, each equipped with a commercial plaza and residential area.
It specifically mentions the performance-based agreement reached with [Hongsheng Capital], which stipulates that if the return on investment does not reach 15% within three years, the capital party will take over 20% of the equity.
In the past six months, overseas capital, represented by Hongsheng Capital, has officially entered the Chinese cinema market.
Leveraging its strong financial resources and mature operating team, Hongsheng Capital has successively completed strategic investments in three major Chinese cinema chains: Huaying International, Fengyu International, and Tianxing Film & Television. It has gradually penetrated and controlled nearly half of the core channel resources of mainstream cinema chains in China, forming a rivalry with Zhou Yang's capital group…
..............................
2 month 20 day.
early morning.
In Zhou Yang's office at [Xuan Shi Entertainment], a heavyweight guest arrived. His name was Xu Jialin, the chairman of [Heng Teng Real Estate].
The coal bosses' frenzied expansion naturally caught Xu Jialin's attention.
As the chairman of Hengteng Real Estate, one of the top ten real estate companies in the country, he keenly realized that the tide of the times was rolling forward, and this time, he also wanted to get a share of the pie in this transformation...
Sunlight streamed through the window. He sat in a chair, crossed his legs, and looked at Zhou Yang with a smile on his face.
"Mr. Zhou, we at Hengteng Real Estate still have three prime plots of land sitting idle in Lujiazui..." Xu Jialin turned around, a slick smile typical of a businessman plastered on his face. "Mr. Zhou, I know you're doing very well with those nouveau riche bosses from Shanxi, but running a business isn't like setting up a street stall. You can't rely on those coal bosses throwing money around to survive the first wave of economic boom. Your business model might work in second- or third-tier cities, but in the core locations and core cities across the country... you just can't get in..."
Zhou Yang remained silent, simply watching Xu Jialin.
Xu Jialin still had a smile on his face. Seeing that Zhou Yang remained silent, he was not in a hurry. He simply changed his posture and crossed his legs again.
Sunlight streamed in at an angle, illuminating his gleaming leather belt, making Zhou Yang's eyes feel somewhat blinded.
Zhou Yang finally spoke: "President Xu, what you mean is..."
"What do these nouveau riche know about core business districts?" Xu Jialin lowered his voice: "The so-called film studios they build are not even worth mentioning in the real real estate landscape. If you want to truly grow and become a leader in the film industry, you should cooperate with us... Now is the opportunity to become a major player in China's capital market!"
Zhou Yang took the information about Hengteng Real Estate from the pretty secretary next to Xu Jialin.
After observing for a long time, Zhou Yang looked up at Xu Jialin and said, "Mr. Xu, cooperation is possible, but I hope that all our projects will be completed properties before they can be sold. Furthermore, we need to sign separate agreements for each property development; otherwise..."
Upon hearing Zhou Yang's words, Xu Jialin's smile gradually faded: "President Zhou, ready-built houses? Who in the real estate industry still deals in ready-built houses these days? True capital operation involves first acquiring land, drawing up blueprints, and selling off-plan properties, using homebuyers' down payments as seed money, and then leveraging bank loans to acquire the next piece of land... That's the true way of business!"
Zhou Yang fell silent, his gaze falling on Xu Jialin's belt. He was thinking of an old friend...
Xu Jialin suddenly burst out laughing, shifting his crossed legs to a different position: "Mr. Zhou, you're good at making movies, but real estate isn't like that. Do you know how much funding Hengteng raised last year with just thirty design drawings?" He held up three fingers: "Three hundred billion! If everyone were to honestly build completed houses like you, their cash flow would have dried up long ago! Besides, in this era of rampant growth, speed and recognition are key. Honest business practices won't get you into one of the top ten companies in the country..."
Seeing that Zhou Yang remained silent, he shook his head: "Cooperation is about win-win. Your small-farmer mentality is suitable for making your rural love stories, but it won't work in business..."
Zhou Yang suddenly laughed: "President Xu, do you know why coal mine owners are willing to cooperate with me?" He gently pushed open the window, and not far downstairs, the [Xuan Shi Mall] was bustling with people: "Because my audience only believes in things they can see and touch."
Xu Jialin narrowed his eyes, glanced at Zhou Yang indifferently, and said with a hint of mockery in his eyes: "President Zhou, do you think you can gain a foothold by relying on a few blockbuster movies and coal bosses throwing money around? You're wrong! What you lack now is real core resources..."
He suddenly pulled a document out of his suit pocket.
The document contained the words "Hongsheng Capital".
“[Hongsheng Capital] acquired controlling stakes in two of the three major North American film distributors last year. Among the five major Chinese film companies, although your capital group has been gradually entering the market, why did three of them fail to obtain Hollywood quotas in the second half of last year?”
"Why were these quotas given to Tianyu Media, the company you beat half to death, and then this company turned the tables?"
"The Tianyu Media you personally destroyed has now reclaimed its position as a leading Chinese film company by leveraging the distribution rights to Hollywood films. As far as I know, with the integration of overseas capital such as Hongsheng Capital, Tianyu Media has joined forces with the three major cinema chains and large real estate developers like Wanda Properties, and is beginning to use your business model to enter the market. They not only control prime commercial locations but also have strong overseas capital support. As for the capital behind you, apart from the coal bosses, the other major capital players are basically bloodsuckers. Unless you sell out your core cinema chain resources, they will run away as soon as the fighting starts. This battle, relying solely on you and some coal bosses, is probably not going to be easy to win..."
"..."
"Moreover, I heard that the movie 'The Devil Knight' was made with domestic special effects by you spending a lot of money. Nowadays, even Li Zhengtao's 'Chrysanthemum Terrace' failed as a domestic blockbuster. As the director of your first movie that grossed over 100 million yuan, do you really think you can do it with your so-called Chinese industrial special effects?"
"..."
"Why not take advantage of your current popularity and peak buzz, bring your [Xuan Shi] to this capital feast, sit at the table with us, and make a fortune together..."
After hearing this, Zhou Yang laughed.
“I’m sorry, but I’ve always been a loner. This table is reserved for me and my business partner; it’s not for you.”
"Different road non-phase plan!"
"If you want to fight, fight!"
"..."
(End of this chapter)
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