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Entertainment Industry in China - PEST Framework Analysis
Aruvian's R'search, March 2012, Pages: 20
China has one of the fastest growing entertainment industries in the world. The global entertainment industry is expected to show an annual growth of 10% in the next four years and that growth will be driven by China – movies, theme parks, media, etc. This growth in entertainment gives rise to many issues, including distribution, licensing, intellectual property, contract and investment.
Movies are very popular in China and there are approximately 15 movie studios in China, among the most famous are Shanghai studio, Beijing studio and Changchun studio. But the movies that are most popular are not produced by these studios, but come from foreign sources including the U.S. Despite a variety of administrative measures by the Chinese central government, imported films represent a major share of the Chinese market. It is estimated that revenue from ten imported films was responsible for 70% of the market with the remaining 30% for 100 or more domestic films.
Aruvian's R'search analyzes China’s Entertainment Industry in a PEST Framework Analysis. A PEST analysis is concerned with the environmental influences on a business. The acronym stands for the Political, Economic, Social and Technological issues that could affect the strategic development of a business. Identifying PEST influences is a useful way of summarizing the external environment in which a business operates.
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