The circular also encouraged the establishment of an inter-regional release network to replace the formerly rigid provincial distribution systems that stemmed from the planned economy. Some local film distribution companies have already been set up over the past year, according to Mao. Investors interested in the Chinese film market have given a reserved welcome to the new policies. The new policy is definitely good news for the Chinese film industry. The introduction of foreign investment will help activate the currently sluggish Chinese film market.
Competition is a good thing.
It will certainly bring more vitality to the Chinese film market. Wei Jian, vice-general manager of Beijing Xinyinglian Film Distribution Company, said the introduction of foreign investment in the distribution sector will be good for both Chinese audiences and existing Chinese film distribution companies.