Solutions to attract and use investment capital to develop Vietnamese cinema by 2010

high. In addition to producing films for theaters, the Japanese film industry also makes home videos, films for television stations, and especially special effects films for advertising. The market mechanism with a high degree of individual freedom has certain negative aspects, which is that entertainment is often harmless in action films, and sometimes even harmful. For example, Japanese television shows an animated film that makes children vomit, requiring emergency care, causing a reaction in public opinion.

Regarding technical technology, the main equipment in all stages is still from Japan, some special equipment such as editing and sound equipment is purchased from the US and UK. However, traditional methods are still combined to take advantage of saving investment capital.

1.4.2. Chinese Cinema

1.4.2.1. Overview of Chinese cinema

The steps and solutions for developing cinema go hand in hand with the steps of reform and opening up in China's social life. The State encourages agencies, enterprises, public service units and other social organizations as well as each citizen to participate in film production through various forms of funding and investment in cinema. The above policy is gradually legalized to ensure good premises for the process of socializing cinema activities throughout the country.

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China began to carry out reform and opening up since 1978. In terms of ideological orientation, China advocates: Promoting the main melody (ie socialist orientation), promoting diversification (ie promoting proactive creativity, "a hundred flowers bloom, a hundred schools of thought contend"). Chinese cinema has achieved many successes in recent times because the Chinese government is more open, so it has formed a number of policies on film management from investment, reviewing and rewarding works, which have had a great impact on the film industry and the whole society.

Regarding industry management : China has merged cinema into television into the Ministry of Radio - Film and Television to promote the potential of mutual support and cause and effect. Television is one of the three consumption markets of cinema (including the theater system and mobile film projection team - Television station system - Video tape and disc market, or home video), thus solving the output of this country's cinema well.

The problem of solving the input - output of cinema is unified by an open, self-accounting operating mechanism for development. However, each stage in the structure of the institutional system

In the entire process of cinematographic activities, the State has its own extremely powerful organizations. These units are invested in comprehensively by the State or have favorable and appropriate policies and mechanisms, making them not only strong in composing, producing, importing and exporting, and disseminating films, but also have the effect of guiding and stimulating the country's cinematographic activities, competing fairly according to the law. The system of state cinema institutions is closed and interconnected, operating in coordination with each other, supporting each other in all aspects for mutual development. The entire national cinema industry is an open-structured institutional system that operates equally before the law and guides the development of cinema by the State.

1.4.2.2. Investment in Film Development in China

Investment policy: The Chinese government initially invests in facilities, equipment, and capital for cinema. In addition to the budget investment, the Chinese government also allocates a portion of revenue from movie ticket sales to support cinema; at the same time, it supports retraining or transferring cadres to other suitable professions (if there are no conditions for retraining, it will provide 95% of the salary for that cadre when they reach retirement age).

China has a tax policy for film activities. Hotel and restaurant services... within the film unit only collect a 1% turnover tax to attract investors to the film industry. Due to the policy of protecting domestic film, each year China only allows the import of about 10 feature films, most of which are valuable American films.

Mobilizing investment capital sources: Solving the problem of mobilizing domestic and foreign investment capital, focusing on 3 main solutions to mobilize capital for film production as follows:

One is : Social organizations and enterprises contribute capital to make films.

Second : Foreign investment (US, Japan, Taiwan, Europe...). Only famous directors are allowed to invest in making films.

Third : Borrow capital from individuals to invest in film production.

Three highly socialized solutions: the state, individuals and foreign countries cooperate to find capital for Chinese cinema. These solutions are quite effective, promoting the development of Chinese cinema and adapting to the market mechanism.

China believes that the first step in film reform is to approach the international market, that is, to define the market concept comprehensively throughout the process.

The process from investment to production. Investment is the measure, the foundation, but production and increasing value are the goals, so famous film directors such as Ta Tan, Truong Nghe Mou, Tran Khai Ca... are determined and bold in investing in making films so that their works have the conditions to enter the international market. The distribution of their films abroad certainly has a part of capital contributed by foreign countries.

One of the models of Chinese cinema's operation in the market mechanism is to build Film and Television cities such as Zhuozhou (Hebei Province), Donghai (Shanghai City), Wuxi (Jiangsu Province). All three facilities are invested by the Ministry of Radio, Film and Television of China. These facilities have produced many feature films and television series that bring high economic benefits. In addition to being used as studios for domestic and foreign film production facilities, organizing large-scale domestic and international film festivals, these facilities are also points for selling tourist tickets, souvenirs, restaurant services, and beverages to generate profits.

China has good experience in the integrated business model of a film organization, carrying out a series of operational and technical reforms in filmmaking to catch up with the world's advanced countries, installing high-tech equipment for rent and attracting foreign filmmaking service cooperation.

Every day, an average of 80 films are released, each year about 1,000 films with 20,000 episodes. Many famous actors and directors are not on the company's payroll, they work freelance and spend their own money to make films, find their own partners for joint ventures... Chinese cinema is gradually eliminating subsidies, socializing many stages and aspects, diversifying artistic and business activities for film studios, units and companies that take money from other service business sources to support and compensate for film making, for maintaining and developing art, film studios and artists can live on their own profession. From there, it creates motivation, healthy competition.

The above experiences are also the reasons why Chinese films have achieved high quality. Many Chinese films have won major awards at the most prestigious international film festivals, attracting not only domestic audiences, but also especially in Vietnam and internationally.

1.4.3. Cinema of the former Soviet Union and the Russian Federation

Once a world cinema power, the new policies and measures made the entire population pay attention to the role of cinema; provided capital and increased the number of qualified professional and political cadres for the industry; affirmed the state's regulatory management of cinema; reduced taxes to a minimum, increased film production and paid special attention to organizing cinemas throughout the country... Right from the early 80s, the Soviet Union had formed investment projects for various types of cinemas serving the business and activities of cinema to attract audiences.

Type 1 : Theaters are built for audiences of many types. This theater shows attractive big screen movies to a large audience, at the same time for thousands of viewers, who no longer want to enjoy home entertainment, want to enjoy and have the need to interact with society. This type of theater has achieved economic efficiency as well as social efficiency.

The second type : These are completely new-style theaters, consisting of 2-3 small and medium-sized screening rooms. Small rooms have 100-150 seats; the largest room has 400 seats for the audience. This type of theater can show psychological and social films with moderate aesthetic requirements but has the power to attract the public. These types of films cannot be shown in theaters with 1000-1500 seats. In many large cities of the Soviet Union, these mini-theaters have been operating with certain effectiveness.

The third type : Considered one of the most feasible options is the multi-function cinema with many screens. Viewers can come to this type of cinema after work and spend the entire evening for entertainment here, with a capacity of up to 2000-3000 people. This type of cinema has achieved certain successes.

Recently, facing the great challenges caused by the change of political regime and the invasion of Western culture, many talented Russian filmmakers have remained faithful to their artistic ideals, and have created films of high artistic value, funded by a number of social and individual organizations as well as sponsors. One of the world-famous films recently is "The Barber of Siberia" by the famous director N. Mikhancov.

In the decade from the 80s onwards, the Soviet Union (formerly) produced more than 150 feature films each year, quite a few documentaries, scientific films, cartoons, and television series. There were up to 36,000 cinemas on the territory of the Soviet Union, not to mention the system of cinema clubs.

throughout the federal territory. Soviet film studios were responsible for the input stage, capable of producing films for domestic demand and export, while the annual budget of the film industry allowed the import of European and American films of high artistic value to serve domestic audiences.

However, the closed input-output system easily leads to stagnation and monopoly of state establishments, which is a barrier for other social components wanting to participate in film activities. At this time, the main and only source of capital for film production is from the state budget, which hinders the process of diversification and multilateralization in finding additional sources of investment capital for improving technological equipment. Therefore, the technical quality of Soviet films and the level of Soviet film production technology not only do not surpass but also lag behind the industries of some film powers in the world, especially the United States.

Currently, the Russian Federation produces about 70-75 feature films per year, including both state and private films, but the state still plays a more important role. Goskino - the Soviet Cinema Committee, the state agency for cinema management still retains its functions and duties as before, but now also has the task of helping to finance some films. Russian television channels also participate in film production, television cooperates in film production with production companies, creating additional capital for cinema.

In short, in the former Soviet Union, cinema operated under a planning mechanism, with strict and unified state management, and film products avoided the crisis of surplus and shortage. When there is no longer state regulation, managing the film production - distribution and screening system will not be easy. Currently, the Russian Federation's cinema tends to establish large corporations, similar to economic corporations to suit the market mechanism.

1.4.4. Investment in film development of the Association of Southeast Asian Nations - ASEAN

1.4.4.1. Investment in development of Thai cinema

Thai cinema is heavily commercial, film production is entirely undertaken by the private sector, without the participation of state organizations. The state only participates in management and censorship.

Thai cinema is maintained by the state policy of "Eat Thai, Drink Thai, Travel Thai, WATCH Thai MOVIES". The campaign to watch Thai movies has helped to circulate domestic films and prevent the invasion and expansion of foreign films.

The Thai film industry has been through a crisis due to the fierce competition of modern audiovisual media such as video technology, television... Thai people are very fond of movies, but not long ago the number of theaters and viewers decreased by more than half. Up to now, thanks to investment in new technical equipment for film projection and modernization of theaters, improvement of film quality..., cinemas have attracted audiences again.

The cinema system in Thailand is all privately managed. In Bangkok alone, there are 200 cinemas, which are often built in the form of cinema clusters, most of which are located in large central supermarkets in the city. In front of each cinema, there is a confirmation stamp from the International Cinema Association on cinema standards. Each cinema cluster has from 5 to 10 screening rooms, each screening room has from 200 to 400 seats and can simultaneously show 5 or more different films. The Thai Government's regulation is that every year, cinemas must achieve a minimum rate of 30% of the number of screenings and the number of films released in the theaters being Thai films to protect national cinema.

Thai cinema activities are placed within a legal framework, which clearly defines the responsibilities of owners of film establishments. The state rarely does direct work, and if it does, it is usually only major work that is specifically delegated to a social organization. Thai cinema, in addition to organizing national film festivals to increase the audience's interest in Thai films, also selects films to send to international film festivals and sends films for marketing abroad through the Ministry of Foreign Affairs, the Ministry of Commerce, the Ministry of Industry and other international relations organizations of Thailand.

1.4.4.2. Investment in development of Singaporean cinema

In the 1970s, film studios in Singapore were forced to close as television became the more popular medium of entertainment. Without production, the country was a market for foreign films.

With the policy of protecting national cinema, with many recent efforts of the Singapore Film Bureau, Cinema has gradually returned to its position. To maintain national identity, the film censorship board of the Ministry of Information has reviewed all films before showing them in theaters. The law here not only prevents toxicity in art but also serves as a basis to support creativity.

Attracting domestic and foreign investment capital to innovate technology for the film industry, build theater complexes, and modern film screening equipment like in Thailand and other countries in the region is worth learning useful lessons from.

The censorship of commercial films gives us a lot of experience to refer to: They allow some art films with sexual scenes (called RA) to be shown only after 11pm every Friday night, but prohibit young people under 21 from watching, and those over 21 must have an ID card to enter the theater. In addition, this country also has a film complaint committee, responsible for approving film classification and screening, recommending agencies to cut out unhealthy scenes in films that are harmful to moral education and artistic taste.

1.4.4.3. Investment in developing Indonesian cinema

The biggest feature of capital investment for film development in Indonesia is the investment activities of private film studios. This country has more than 200 private film studios nationwide, while there are only 5 state-owned film studios. The record number of cinemas is up to 2,200. Indonesian cinema is under the Ministry of Information, has 6 television stations with the annual production of about 30 feature films (of which the state only orders the production of 3 films per year); 400 to 500 television films (in the 1970s, there were 1,000 video films/year).

Previously, filmmakers in this country often looked for scripts with plots about the aristocracy and wealth in Indonesia, which were easy to exploit and suitable for the tastes, especially of the young generation. Currently, people's lives are facing many difficulties, the country is in a serious political crisis, so the demand for this type of film has decreased a lot.

1.4.4.4. Investment in the development of Philippine cinema

The rate of capital investment in film production in the Philippines is higher every year. In the past 3 years, the annual production volume is 150 feature films, over 400 video films. Due to the economic crisis and the encroachment of foreign films, Philippine cinema has declined, however, the country's filmmakers have not wavered, they still find ways to invest in producing high-quality films to serve domestic audiences. Philippine cinema has produced more "open" entertainment films... and only for export to attract domestic filmmaking capital - This is a quite effective measure both economically and artistically for the country's cinema.

The Philippines implements a suitable bonus system to encourage capital investment in making quality films, especially those that win high awards, to the public.

watch...films to be shown in villages by mobile cinema for free. The Philippine government encourages preferential services for cinema, creating favorable conditions for foreign filmmakers to come to joint ventures to produce and film in the Philippines. Focusing on investing in modernizing the domestic film industry, creating high-quality films to attract domestic audiences and export abroad, the goal of Philippine cinema must be strong to create fierce competition with audio-visual media, television and other forms of entertainment.

1.4.4.5. Investment in developing Malaysian cinema

What is unique about Malaysia is that they established a Film Academy, in addition to having 6 private and public film arts training institutions to encourage the training of film talents.

Domestic films account for only 6% of the market, American films account for 57%; Chinese films account for 32%, and the rest are films from other countries. Malaysia faces the challenge of an underdeveloped domestic film industry, and has to compete with foreign films, television systems, and audiovisual media like other countries in the region and the world.

The government has preferential policies to develop Malaysian cinema, such as implementing a policy of socializing cinema activities to attract domestic and foreign investment capital. Previously, the government invested in modern technical facilities for a cinema technical center, which later had to separate and operate its own business to survive and develop. Foreign commercials on the television system must be produced in Malaysia to create jobs, improve skills for domestic cinema workers, and at the same time manage content and protect national identity.

1.4.5. Some lessons for Vietnam in investing in film development

From analyzing the experiences of other countries in investing in and developing Cinema, we can draw the following lessons for applying to investing in and developing Vietnamese Cinema:

Firstly, all countries have been successful in their strategy of diversifying film activities and investing in film development. In these countries, all sectors of society are involved in film activities, capital sources are diversified, expressed in 3 areas with a relative distinction in investment content, namely: The state sector directly manages and simultaneously invests in all stages of human resources, technical facilities and film production capital, considered as a public sector in society; The private sector is mainly invested by private capital but is partially supported by the State through development incentive policies.

Solutions to attract and use investment capital to develop Vietnamese cinema by 2010 - 7

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