THE MOVIE BUSINESS IN HOLLYWOOD

In Hollywood business often clashes with art. And when it does business usually
wins. It's tough to fight Hollywood's corporate powers. Even if you are Rocky and
Rambo combined.
Still, it's hard to feel pity for Sylvester, or for other Hollywood artists who
complain about the pressure of the profit-oriented Hollywood system. They are
paid too well to pity. Also, they are free to indulge their artistic visions in films
that they finance themselves. If they choose to be part of the established
Hollywood order, they become part of a system that functions extraordinarily well.
No other American industry performs so spectacularly against foreign competition.
To a large extent, Hollywood films are the world's films.
The fact is that the number of workers in the US film industry is quite small.
All the money goes into relatively few pockets. The entire industry occupies only a
few square kilometers around Los Angeles, and comprises only eight major
filmmaking studios. There are only three large talent agencies that represent
artists in their business negotiations. There are fewer than 50 major film directors.
The competition to be one of these select few is fierce, but it is also generally fair.
Despite occasional charges of nepotism, or of trading sexual favors for career
advancement, Hollywood remains a meritocracy. The stakes are simply too high
to allow untalented people to advance. Therefore, anyone with talent is welcome in
Hollywood; a degree in film studies is helpful, but not necessary.
The business organization in Hollywood is simple. The eight largest studios,
each of which employs no more than about 1,500 people, make and distribute to
theatres about half of Hollywood films. The other half are made by independent
producers or by smaller production companies, which employ only about 50 people
each. Most of the production companies, however, use major studios to distribute
their films to the theatres. Because the studios and production companies finance
the films, they have ultimate authority over hiring the film's principal personnel:
the directors, writers, actors, producer and publicist.
Often, however, a talent agent — the business representative for
Hollywood's creative talent — will have a great deal of authority over who is hired
to work on film. Creative artists in Hollywood generally trust their agents'
judgement, and will often work on the films their agents recommend.
The pursuit of profitability is a practical necessity, since Hollywood films
cost so much to make — an average of about $27 million. The high cost is the
reason art is often sacrificed for money. However, a great many of the most
important artists in Hollywood fight hard for their artistic vision, and often win.
Ironically, some of the most profitable films — including "Dances with
Wolves" (1990) — were made more for art than profit. But these films achieved
their artistic goals so fully that they attracted large audiences. Similarly, other low
budget films that are not of great artistic value, but are well-accomplished
entertainment, also become staggeringly profitable. "Home Alone" (1990), for
example — a suspense comedy about the boy who foils two burglars — was made
for $12 million, and earned about $300 million in American ticket sales.
Frequently, though, the highest artistic goals are sacrificed. Some people in
Hollywood are terribly frustrated when this happens. Others are not. Often, their
reaction to this issue depends upon the type of job they do. A studio executive, for
example, would be likely to care more about profit than art.
Agents are at the heart of Hollywood power. There are several reasons for
this. They exert great influence over stars and directors, because these clients
often owe their ascendance to the agents who helped them rise from the bottom.
Also, agents exert great influence over studio executives, because they control the
stars the executives need. Lastly, agents have huge financial resources, since they
typically receive 10 percent of all the money paid to each of their clients.
Ron Meyer was the agent who represented Sylvester Stallone on "Rocky V".
Meyer believes that agents are absolutely necessary, because most artists are not
hard-nosed business people. "The system requires proper representation for every
artist... There's the business of show business and the artistic aspect of the business,
and we all have our roles to play".
Artists who are vitally interested in doing quality work often hire
representatives who are as concerned about creativity as finances. Actor Dustin
Hoffman, for example, was represented by quality-conscious Bert Fields, who
helped Hoffman find excellent films like "Rain Man" (1988), "Tootsie" (1982), and
"Kramer vs. Kramer" (1979) and fought hard to give Hoffman creative control over
his films. Fields also negotiated fiercely for Hoffman’s financial interests.
Nevertheless, some critics believe that agents in general are to blame for
Hollywood's fixation on commercialism.
The next most powerful job in Hollywood hierarchy, after agent and studio
executive, is that of producer. The producer oversees and organises all aspects of a
film from developing the script, to hiring the director and actors, to finding money
for production, to arranging for distribution. Producers must satisfy the financial
concerns of studio executives and agents, and artistic concerns of actors, writers
and directors. Because producers spend a year or two on each film — often
investing their own money — each film represents great risk to their careers and
finances. When Robert Chartoff became the producer of "Rocky", the United
Artists studio forced Chartoff to pledge his home as security against the film's
production costs. For Chartoff, this was an enormous gamble. But he believed
"Rocky" "had the potential to be something remarkable". However, says Chartoff,
"I never dreamed it would be as successful as it was".
Another risk Chartoff took was casting Stallone, who'd written the
screenplay for "Rocky". The studio did not want Stallone, because at the time he
had not yet starred in any successful film. The studio offered to pay Stallone
$300,000 for his script if he would agree not to act in it. But Stallone refused, and
Chartoff backed him. Chartoff's instincts were proven correct when "Rocky" made
$117 million in America alone.
 Many producers feel they must follow their own artistic instincts, even when
these instincts contradict studio pressure. Using major stars is a tactic which many
producers employ. But it can backfire, because stars are so expensive. When
prominent producer Leonard Goldberg was wrestling with a badly written movie
that he thought would be a flop, an agent approached him with advice. "The agent
said to me, 'What if I can get a couple of stars?' And I said, 'then we would have an
expensive flop."'
Too often, however, producers give in to agents and other dealmakers, and
load their films with stars — even if the stars aren't right for their roles. They do
this because they know a star-heavy movie is likely to appeal to studios.
Producers with artistic integrity hate this approach. "The movie industry is now
run by dealmakers, instead of filmmakers," says producer Michael Viner. "And it's
a tragedy. It's reflected in the films that come out."
This couldn't happen, of course, if actors refused to be used as commercial
pawns. But actors, like others in Hollywood, are often seduced by the lure of fame
and fortune.
Publicists generally don't have the kind of power that stars and agents have;
their job is to build power for others, by building their recognition. But by doing
this, publicists have become an indispensable part of the Hollywood system. In
Hollywood, a widely held belief is: It's not who you are that counts — it's who
you're perceived to be. Publicists hold the key to public perception. They also
often control how the public perceives specific films. "Advertising alone isn't
enough to get the public to the box-office", says David Shaw, a partner of Shaw-
Spelling Associates. "The public has to hear about the film through stories on
television and print... Early publicity", says Shaw, "helps the producers gain
confidence of their investors, and of the cast and the crew". Just before a film's
release, publicity is used to influence what reviewers say. "Sometimes you can
make critics see a film from a different perspective", says Shaw. When a film is
released, most of a publicist's work is done, because how well the film does
commercially during its first weekend generally dictates its overall success.
"Advertising is an easily controlled medium," says Dan Spelling, "but it's
extremely expensive, and it's hard to make one ad stand out from other ads. Also,
consumers distrust it. Public relation is more effective than advertising and more
believable to consumers. A few interesting and well-placed articles can create far
more interest than a big ad campaign." Shaw and Spelling believe that many
publicists work in a lazy, non-creative way. "They rely on just the name value of
the big stars", says Spelling. "Many of the best films," he notes, "come from the
smaller production companies.
Publicists can help these companies by promoting not just the artists working in
their films, but the companies themselves."
Agents, studio executives, producers, actors, directors, writers and publicists
— all make up the mosaic that the public identifies as "Hollywood". This
combination of people produces the films that now dominate world culture. These
people are under considerable pressure to make commercially successful films.
Sometimes this pressure overwhelms their creative abilities. Often, though, art and
commerce combine to provide films that had become cultural landmarks.
12. Decide if the following statements are true or false.
1. Hollywood business is often in conflict with the principles of art.
2. Only popular film stars can confront the profit-oriented Hollywood system.
3. Famous actors and actresses are money-dependent in Hollywood.
4. The Hollywood industry faces no foreign competitors.
5. A great number of workers are involved in the US film-making industry.
6. It’s not uncommon for untalented people to advance in Hollywood through
family or sexual relations.
7. Qualifications in film studies can guarantee immediate success in
Hollywood.
8. Both big and small production companies tend to distribute their films to
cinemas through major film studios.
9. Agents are the most influential in Hollywood business because they have
great financial resources.
10. Agents have considerable power to choose actors to be hired for a film.
11. The pursuit of profitability in Hollywood is economically justifiable.
12. It’s impossible for art-oriented low-budget films to become box-office hits.
13. According to Ron Meyer, artists in Hollywood are all businesslike and
pragmatic.
14. Each film where a producer is involved is a kind of gambling for him/her.
15. Inviting big stars to a film is one of the ways producers choose to make it
successful.
16. According to one of the producers, commercialism predominates in the
movie industry and affects the quality of the films.
17. It’s generally believed in Hollywood that what you pretend to be is more
important than what you really are.
18. Publicists can influence film critics’ perception of a film during the first
weekend after its release.
19. Consumers are more influenced by film ads than by reviews and critical
articles.
20. A combination of art and commerce can frequently result in a great film.
13. Find in the text English equivalents for the following words and phrases,
then summarise the main features of the movie business in Hollywood
using these words and phrases.
Пригнічувати творчі здібності;to overwhelm creative abilities потурати
художньому світосприйняттю; indulge the artistic visions розповсюджувати
фільми; to distribute films меритократія; meritocracy бути зобов’язаним своїм
пануванням/владою; основний персонал, зайнятий у фільмі; cast невід’ємна
частина Голлівудської системи; задовольнити фінансові потреби; сценарій;
фільм-провал; фільм, у якому бере участь багато зірок; бути комерційними
пішаками; культурні пам’ятки; спокуситися принадою слави та багатства;
визнання; вихід фільму на екран.
14. Summarize the information about jobs of an agent, producer, and publicist
covering these points:
• duties/responsibilities
• the degree of power in the Hollywood system / position in Hollywood
hierarchy
• priorities / values
• risks involved
• criticism
• famous people in these jobs

An agent serves as a client's representative who is charged with finding, vetting and
negotiating work agreements.

Writers who are trying to get their first novel published will depend on an agent to
investigate perhaps hundreds of publishing houses, looking out for a suitable match
before the agent pitches manuscript to editors. Actors who specialize in radio voice-
overs need an agent to scout out voicing opportunities; to send audition tapes, and to
arrange auditions. In these cases and in others, an agent also negotiates contracts on
the client's behalf. Some companies and organizations refuse to consider the work of
a writer or actor who is not represented by a professional agent. In this way, these
companies and organizations depend on an agent to recommend only the most
suitable talent.

Skills you'll need in abundance: Tenacity, exemplary communication and negotiation

skills and, perhaps most of all, superior connections and relationships within the
industry so that you know exactly what's going on and that you can depend on insiders
for reliable leads and tips.

 A publicist serves as a client's media and public spokesperson to achieve the

following: to write and issue timely press releases; field media inquiries; organize
press conferences; stage public appearances; schedule photo shoots; draft speeches;
and maintain the client's website.

A client who maintains a high public profile – and who may employ a marketing or
advertising team – may also depend on the publicist to work collaboratively with this
team to ensure that a coordinated public presence is maintained at all times. With the
explosion of social media, publicists' responsibilities have grown to include managing
social media, which can be a part-time job unto itself. In times of controversy, a
publicist's role can pivot in a heartbeat to focus entirely on crisis management efforts.
Skills you'll need in abundance: Sharp organizational skills, the ability to prioritize,
good writing skills, the ability to develop a rapport with many types of people, as well
as an appreciation for a diverse range of types of people, and a responsiveness to
deadlines.

Some publicists, such as the late Ronni Chasen, can become almost as well-known as
their famous clients. Chasen became an expert in celebrity PR, and worked with actors
Michael Douglas, John Travolta and musician Hans Zimmer. If you're seeing stars, too,
thinking about how Chasen's business had bloomed, can serve as a blueprint for
budding entrepreneurs like yourself.

Producers work in film, television and music as well as all other branches of the
creative arts, assembling the personnel and resources to fulfil the goals of the project.
Producers ensure that the project is delivered on time and on budget, working out the
logistics and dealing with the business side of the production. Once a project is
complete, the Producer typically takes on the task of marketing and distributing the
work. Producers in different industries have different roles, but there are many
similarities in their areas of responsibility.

Producer skills and qualifications

Producers may work in a wide variety of environments on a range of different projects,

from ballet shows to music recordings. A successful Producer will have a variety of
prerequisite skills and qualifications that typically include:

Creativity and artistic flair

Problem-solving and decision-making

Technical ability with the equipment appropriate for the project

Excellent time management skills

Proven project management skills

Managing a budget and allocating resources to each element of the project

Excellent communication and interpersonal skills

Ability to multitask and adapt to changing priorities

Producer experience requirements

Producers typically have experience of one or more junior roles in the industry before
they work their way up to the level of Producer. Candidates that have experience as a
Production Assistant will have a thorough knowledge of the elements required for
successful production and can also start to build up a network of contacts that will
help them develop their careers further.

Music Producers tend to be Musicians themselves with experience of writing,

recording and producing their own music or that of their peers. Time spent in studios
will give them the experience they need to develop an in-depth knowledge of technical
and audio software and hardware in use and be able to create ideas on arranging,
composing and mixing the music.