October 17, 2009
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Nollywood-Improving the film industry by creating an efficient film market.Market is here defined as a mechanism for allocating resources.An efficient market would reward excellence while penalising mediocrity.
An efficient market can be created by combining intelligent regulation with robust enforcement.Instead of preaching to film makers to improve the quality of their works,regulators should focus on making laws that prohibit certain business models.For example,the practice of splitting a given movie into seperate parts which are then sold sperately and most of the time under different names should be outlawed.Now why is it important to stop this practice?
First,this practice turns the film business into a high margin rather than a volume based one.When one movie is sold in four parts,you get one movie for the price of four, and of course, this encourages piracy as people are going to be reluctant to buy.
Second,and more importantly,the volume based model would improve quality. Unlike the high margin based model(where for example,the film maker gets paid four times four one film),under the volume model a film maker would have to sell a lot of copies of any film to turn a profit.This is not likely to happen unless the film is of good quality.
This would concentrate minds in the industry.Because when it becomes clear that only good movies will be profitable,talented and trained directors,producers,script writers and performers will become ascendant.The quacks dominating the industry today will be thrown out of the industry,simply because their mediocre offerings will not sell enough copies to be profitable.Thus unable to turn a profit,they would have to turn to a new line of business.