This is the second part of a three-part essay by Zhang Xianmin on the state of contemporary Chinese cinema. Read Parts One and Two.
Translation by Yuqian Yan
IV. New Theaters
Another aspect of capital operation is the development of new theaters and their surroundings. A significant trend is that after international capital was fully withdrawn from China due to policy reasons, the newly raised major players are all domestic partnerships.
Megabox Sanlitun Theater, Beijing
Withdrawn capital is mainly from the States and Europe, but those from Hong Kong or Korea are allowed to stay. Even though according to government policy, Hong Kong and Korean capital can only account for a small proportion, their existence allows theaters to maintain their original status as international chain brands. For example, the new theater built in the middle of Sanlitun, Beijing uses a Korean theater brand. One reason is that Hong Kong and Korean investors sometimes agree to disguise international capital under the name of domestic capital through an intermediary, whereas European and American investors always hesitate to make such a suspicious deal. For instance, Warner has stopped expanding its business in China for years. But European and American giants are just waiting for new policies that will offer better opportunities. In the long run, more than half of the Chinese theaters will be controlled by American capital in the future.
