Companies in this industry produce and/or distribute movies, videos, TV shows, or commercials; exhibit movies; or provide post-production services. Major companies include the US-based News Corporation, The Walt Disney Company, and Regal Entertainment, as well as Technicolor (France), Toho (Japan), and Village Roadshow (Australia).
Demand is driven by consumer spending and leisure time. The profitability of individual companies depends on creativity, marketing, and distribution. Large companies have advantages in financing, wide distribution networks, and marketing expertise. Small companies can compete successfully by focusing on special topics, niche audiences, or non-mainstream TV channels. The US industry is concentrated: the top 50 companies account for about 70 percent of revenue.
Licensing of rights for exhibit, broadcast, rental, and distribution of film and video accounts for about half of industry revenue; movie ticket sales account for about 10 percent of revenue; sales of copies of film and video works to the wholesale/retail/rental markets also accounts for about 10 percent of revenue. Other activities include post-production and technical services such as linear and nonlinear editing, color correction, digital restoration, visual effects, and titling.