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Bollywoodeconomy 130513025012 Phpapp02 PDF
Bollywoodeconomy 130513025012 Phpapp02 PDF
Content
• Bollywood
• Indian economy
• Economic aspects of Bollywood
• Leading players in the industry
• Economic growth of the industry in the last 5 years
• Movies that contributed to the growth
• Comparison with other regional movie industries
• Impact of Bollywood on other industries
• Reason for the high rate of investment into the industry
• Impact of recession on the industry
• Benefits to government
• Conclusion
Bollywood
• Popularly known as Hindi film industry.
• Based in Mumbai, Maharashtra.
• Originated in 1913.
• Term coined in 1970’s, inspired by Tollywood, the
Bengali film industry.
• Often used to refer to the whole Indian film
industry.
• Unlike Hollywood it does not have a physical
existence.
Indian film industry facts and figures
Characteristics:
Mixed economy.
Both Govt. and private sector have influence
over the economy.
Liberalized economy.
Labour intensive.
Low level of income and capital formation.
Low order of resource utilization.
• Considered as a low income country by World
Bank,
with the Gross National Income of US$549.
• Source: report from Federation of Indian Chamber of Commerce and Industry, New
Delhi dated September, 2010
Economic aspects of Bollywood
• The Rs.130-billion ($2.85 billion) industry is one of the fast
growing sectors in the country with expanding global
reach.
• Apparels industry
• Disc producing
• Prop industry
• Tourism industry
• Recreational industry
• Television industry
Reason for the high rate of
investment into the industry
• Less regulations in Foreign Direct Investment.
• Withdrawal of recession.
Effect of recession on the industry
• The total revenue that Bollywood earned in 2008
was R10,900 crore with an overseas collection of
r977 crore.
• The overseas box office also saw a major drop of 30
per cent with a cut down in the film going audience.
• KPMG has estimated that the domestic box office
revenue in 2009 will be around R7,880 crore as
compared to m 8.020 crore in 2008, thus bearing a
loss of about a 100 crore
Consumer preferences
• Multiplex
• Theater