Huayu started as a substitute director

Chapter 720: Sure enough, he has guts

Even if Fang Hong doesn't want to take the blame for the rent increase, he will have to do it. Those real estate service providers are using their connections with Mr. Wang and Jack Ma to target him.

But being able to unite these theaters is also an unexpected gain.

As for real estate service providers, these people have no moral integrity. Even if a lease is signed, there are annual escalation clauses.

It is impossible to sign a lease for ten years with the rent remaining the same. That is impossible. Just think about it.

There is room for rent increase once a year.

It’s just that this time, the rent increases by real estate service providers are clearly targeting us.

The signing of a 15-day box office settlement cycle with several major cinema chains has been completed. Of course, this is only limited to several major cinema chains such as Hengdian, Dadi, and Jinyi.

Some other theater chains have not followed suit. This requires continuous follow-up and cannot be achieved overnight. But with these leading theater chains taking the lead, other theater chains will find it much easier to operate.

After all, this is a trend. It is impossible to always be so slow. If you don’t keep up with the times, you will be eliminated.

With several large cinema chains signing 15-day payment contracts, Tupiaopiao will be under much less pressure. Even if it uses finance, it will not be used as a whole package.

It can be diversified, with theaters returning part of the money, finance packaging part of the money, and then Tupiaopiao paying out part of the money itself.

This way the finances will be much healthier. Let the Tu Piaopiao family take on the responsibility. It's a plate worth tens of billions, and the interest generated will be considerable.

The fight between Fang Hong and Mr. Wang in the cinema market is just an undercurrent. Apart from those in the industry who have heard about it clearly, the outside world doesn't know much about it.

The summer movie season is still in full swing, with "Big Fish and Begonia" and "Cold War 2" currently leading the pack.

In ten days, the former exceeded 4 million, and the latter exceeded 5 million.

The former is that Guangguang Films did not cooperate with Fang Hong in cutting off Wanda’s film supply plan, and the latter is Yutu Films, which did not go to Wanda but still had no impact on the box office.

As for other movies, only "The Bounty Hunter" did okay at the box office, with over 2 million yuan. The other movies didn't do so well, with only tens of millions of yuan at the box office.

Almost 90% of Wanda’s film sources were cut off in the early stage of this summer season.

In mid-July, Hairun's movie "The Great Reversal" had a box office of 50 million in the first three days before it was released in Wanda Cinemas.

It wasn't until the release of "Skiptrace" on July 7 that the market started to heat up, with box office revenue exceeding 21 million yuan in four days.

Van Loong and Fan Xiaopang are still awesome.

The popularity of this movie has led to a visibly increased flow of people in front of all major cinema chains. Of course, this does not include Wanda, whose cinemas are still deserted due to the lack of content.

At the end of the month, "Now You See Me 2" and "The Legend of the Gods" will be released one after another.

Because "Now You See Me 2" has the heat of its predecessor, and also invited Justin Bieber to make a cameo appearance, playing the same role played by Chow Yun-fat in the original film, the movie adds a bit of mystery.

Platforms such as TikTok, Toutiao, and Bilibili are full of short videos and information about this movie, all of which are big data push-based promotions.

The movie earned 1.1 million yuan on its first day of release, 1.3 million yuan on the second day, and 1.1 million yuan on the third day.

This movie has made major cinemas and shopping malls very lively, with people coming and going. With more people watching movies, more people are shopping as well, which is normal.

In contrast to previous summer vacations, Wanda was always crowded with people, but this year it is not as lively as in previous years.

Apart from people coming here to shop, few people come here to watch movies because there are no good movies.

The Legend of the Gods alone was criticized by netizens, with some even saying: "The Legend of Xiang Zuo tells the story of shooting the sword of light into the fountain of life."

I don't know what it means, but it's not a serious review anyway. Everyone who has seen it gave it bad reviews, and even the media gave it bad reviews.

There is no good review of this movie except saying that it has "confusing logic, awkward acting, and exaggerated special effects."

It was a terrible movie and although the box office was not high, it still caused a lot of public opinion and was very popular for a while.

This made Xiang Tai furious, and he posted on Weibo: "An organized black army attack!"

He even said he would call the police, but netizens responded by saying, "Even the entire Chinese internet troll army combined couldn't come up with such a plot."

Even the director blamed the audience, saying that the film was an innovative experiment to compete with Hollywood and that the audience was not used to the new style.

This means that the audience doesn’t understand!
The creators and the Xiang family are collectively passing the buck, while the actors are collectively silent and refuse to talk about it. Even Li Lianjie, who spoke out, only hinted: "Return the favor to the Xiang family!"

Anyway, the word of mouth for this movie was terrible within two days of its release. The box office collapsed before it lasted more than three days, and it continued to plummet after that. The word of mouth was just too bad.

"It's okay, it's okay!" Fatty Yu was at home with his bare chest, patting his chest. He was scared by the movie and kept cursing.

The Peacock Princess was wearing a silk nightgown. She put her arms around her husband's neck from behind, looking gentle and wanting, and said, "What's wrong? What's okay?"

“Fortunately, The Legend of the Gods was taken away by the principal at that time, otherwise we would have suffered a huge loss.” Fatty Yu said thankfully.

Based on the current situation, it is conservatively estimated that this movie will lose at least 3 million yuan. If Bona loses such a huge amount of money, it will take a long time for it to recover, and it will also affect its listing.

Fortunately, the principal took it away by accident.

"Why do you say that it was the principal who took it away? It seems that the principal didn't stop you from investing in this movie!" Peacock Princess wondered.

"You forgot that at that time Alibaba asked the film and television industry to choose between two options: either the principal or me, or me or not the principal. At that time, many film and television companies joined Alibaba. Xiang's family didn't want to offend Alibaba, so they left us and chose Alibaba," Fatty Yu recalled.

"That would have saved you a great loss!" Peacock Princess also remembered.

“Yes, we recovered tens of millions of losses.” Fatty Yu said.

The Xiang family suffered the biggest loss. This movie caused the Xiang family's company "China Star" to fall into decline and withdraw from the film production market.

"Wow! If that's the case, the principal really is lucky. Not only does he have good luck himself, but you also have luck after you joined him." Peacock Princess was surprised.

"I think so too. The two brothers from Huayi keep saying that the principal is the son of destiny. I'm beginning to doubt whether it's true." Fatty Yu has been hearing the two brothers bragging about this recently, and he's starting to believe it.

However, looking at the principal's trajectory over the years, it is somewhat similar. He also suffered a lot of setbacks and got through them.

"There is no such thing as a child of destiny. It's just good luck." Peacock Princess didn't quite believe it.

He leaned forward and grabbed the chopstick and said, "I think you are the child of destiny!"

"."

Because Fang Hong's film source plan has been effective, Mr. Wang has been very depressed recently. He has received data from cinemas across the country, and the flow of people and box office sales of each cinema have declined sharply.

The most serious decline was more than 90%, which means there was basically no one there.

Even the shops in Wanda Plaza have been affected, with sales of major stores and restaurants decreasing significantly.

That's how it is in a cinema. Many people go there to watch a movie first, and then walk around afterward. If there's no movie to watch here, they'll go somewhere else.

"Mr. Wang, there has been a clear decline in the number of visitors to cinemas and plazas across the country. This will be disadvantageous to us if it continues," said Wanda General Manager Zhang Lin.

This person is also a member of the board of directors.

"I know, it's only been a month or two, there's no need to rush! We're just at the beginning now." Lao Wang always seems very confident.

"I just want to remind you that this is not good for the company." Zhang Lin said.

Mr. Wang stared at him and said, "Market competition is like this. If he dares to cut off your film supply today, he will dare to acquire Wanda tomorrow. If he takes one step back, he will take another step back. Don't you understand this principle?"

"I understand!" Zhang Lin's voice became a little softer.

Now Mr. Wang has absolute control over Wanda, which is not the case later.

Although he was confident in front of his subordinates, he was still unsure in his heart. After all, he was facing the principal, and his son's case was also quite troublesome. He became the person to be executed after Panda went bankrupt.

If he doesn't pay back the money over time, he may face criminal liability, and he can't use Wanda's money to pay it back because that's not private.

His son has been very depressed recently. He doesn't even date his favorite girl and just lies at home all day.

I just don’t know what the principal will do, especially regarding this price increase.

However, he soon found out that the rent increase date in August was approaching. After Fang Hong and the cinema chain had reached an agreement, Yutu fulfilled its agreement and notified the business management leaders of China Resources, Longfor, Sunac China, Hang Lung, Swire, Vanke, and Hengda.

Of course, the top CEOs of major real estate service providers did not come, but the second or third in command. They were dressed in suits and looked down on others, and looked down on these people in the film and television industry.

The size of the two fields is very different.

"Principal! What do you want to talk to us about? It'd better be something. Our time is very precious." Vanke Ding Liye said casually.

The others also looked up at the principal with a disdainful attitude.

Chen Zhixi was right next to Fang Hong, looking at this group of people who looked down on others. These people were used to spending lavishly.

"I won't waste my words. Are you serious about raising the rent for my cinema?" Fang Hong said.

"Yes, many of your cinemas were acquired. Maybe you don't know that the prices haven't increased in all these years. The current economic situation is no longer the same as it was a few years ago. It's time for an increase!" said Ding Liye of Vanke.

"Sure, you can raise the price, but the share of the box office revenue I give you will be used to offset the cost of the rent increase." Fang Hong said expressionlessly.

In other words, the more the price increases, the less the box office share will be. That’s what it means.

"What are you talking about? Say it again. Don't you understand the situation? Don't you understand your identity and position?" The CEO of Hengda Commercial Management stood up suddenly and pointed at Fang Hong.

The others also looked at the principal with an unhappy look on their faces, as he dared to speak to them like that.

"I said to use the box office share of each theater to offset the rent increase." Fang Hong did not show any weakness and repeated it directly.

"hehe!"

The CEO of Vanke laughed, and the CEOs of Longfor, Xincheng and Hengda who were present also laughed, with a mocking look on their faces.

I don’t know where this person got the confidence to talk to them like that. If they want to stop Yutu-owned cinemas from operating, they have many ways to do it.

"Principal, are you used to being arrogant? Do you think we are as easy to bully as you bully the film and television industry? I tell you, we have decided to increase the rent today. You have to get a share of the box office revenue whether you want to or not. If you don't, forget about doing business." The CEO of Hengda knocked on the table, his tone becoming very serious.

Then he looked at the other CEOs, all of whom had admiration and recognition in their eyes. That was the way to dampen this guy's arrogance.

They really don't know their place. How many people in the film and television industry speak to them like this?

"Okay, since you guys said so, I'll pay you whatever increase you make during the contract period."

Fang Hong's words made all the major business executives present laugh. He spoke so tough at the beginning, but in the end he finally admitted his mistake. He thought he was so awesome, but it was nothing.

They have absolute advantage and the territory belongs to them. How can those cinema owners compete with them?

Generally, cinemas sign long-term contracts, and there is an incremental clause for rent increases during the years. So although their rent increase is unreasonable, it is not without basis.

The price has risen too fast, completely exceeding the limit of the contract, but who in this world follows rules? Not many people follow rules.

They refused to waive rent even when the black swan incident asked them to, because that was a policy and a righteous cause.

It’s come to this, so I’ll let you pay it!

Just when they were delighted, Fang Hong's next words made them change their expressions.

"I will just close the stores. I will close all the cinemas that have raised their rents. I will not operate a single theater or a single cinema," said Fang Hong.

"What do you mean?" Vanke's CEO restrained his smile.

"What I mean is very simple. I will give you the price increase you tell me. I am a very rule-abiding person and am willing to obey the rules. But since I have rented your place and paid the rent, whether I operate the business or not is my business and has nothing to do with you." Fang Hong turned sideways and didn't look at them.

He supported his back with one hand, looking very proud.

In fact, what he meant was that these people don't follow the rules.

"Are you threatening us?" The boss of Hengda narrowed his eyes and understood what he meant.

"No, I just don't want to open the business anymore, I don't want to make money anymore. I have a lot of money, and I like to leave the empty house there as a decoration!" Fang Hong said casually and jokingly.

If they are not open for business and fail to complete their box office mission, they will still not receive any share of the box office revenue. The second half of the year is the peak period for the box office, so they will only earn a little rent, which is equivalent to not making much money.

The fatal thing is that if no one goes to watch movies, the flow of people into their shopping malls and commercial streets will be greatly reduced, and only cinemas in the commercial streets can be empowered by online media.

Because audiences see a lot of advertisements and movie promotions, they will come to watch movies and consume.

Over time, it will have a great impact on a business district. As time goes by, people will know that the cinema in this place is closed and they will habitually stop coming here.

Once people's habits are formed, they are difficult to correct.

What Fang Hong meant was that he would occupy the toilet but not do anything, and would pay the rent according to the contract so that you could not find any fault.

There is only one cinema in a business district. If it is closed, the huge space will be left vacant and will not be able to attract people.

It goes without saying how important traffic flow is, and the flow of people is even more important to a business district.

Wanda is an example. The directors always have quarrels with President Wang, which not only affects the cinemas, but the entire business district's ecology.

This is the reason why some business districts specifically bid for cinemas to move in at low prices in order to attract people.

"Do you think we are afraid of you? At worst, we will pay you the penalty for breach of contract, attract other cinema chains to move in, and kick you out." The CEO of Vanke also threatened.

Everyone else was also staring at the principal, no doubt about it!
"Okay! You can kick as much as you want. Who dares to occupy the place that my principal doesn't occupy in this circle?" Fang Hong glanced at everyone present.

Chen Zhixi also held his head high and chest out, appearing to be very confident, and he did not indulge these guys at all.

These words made the business managers present look at each other, and their hearts finally began to waver.

They know that the principal has the power to prevent any cinema chain from occupying the position vacated by the principal, because the principal controls the most upstream content.

Once the content is cut off, all the great cinemas will be useless. Wanda is the best example.

Can you imagine a mall without a movie theater?
"The principal is indeed a man of integrity," said the CEO of Vanke.

His tone has softened. There are hundreds of cinemas, and although not all of them will increase their prices, closing half of them will be enough to make people like them suffer.

Who doesn’t want to make money? It’s not good if it affects their own brand. Lao Wang always does things for his son, but they don’t have a son.

"I have a very strong character. Even if you haven't met me, you should have heard of me." Fang Hong said.

They had indeed heard about it. They always heard about how awesome the principal was, how he was doing this and that, and even Jack Ma couldn't get away with it in front of him.

Now that we are confronted, it is indeed different.

"If you close down like this, the money you will lose will not be a small amount," said the CEO of China Resources.

"It doesn't matter how much I lose. The worst that can happen is that I lose 20 billion a year. Even though I'm not a millionaire, I can still afford to leave hundreds of cinemas gathering dust there." Fang Hong was confident.

These words made everyone present silent, and there was no longer any of the bossy attitude just now.

The principal can lose 20 billion yuan a year, which is equivalent to a one-time loss and can be calculated. But they are different. The hidden losses will be greater over time, and the longer it lasts, the more detrimental it will be to their business circle.

Of course, it doesn’t matter in the short term, but it’s really unbearable over a long period of time. Real estate is different from other things and it has a high debt level.

It would be impossible to live without collecting rent. Collecting rent is a long-term transaction, while selling a house is a one-time transaction.

Fang Hong supported himself on the table with both hands, leaned forward and asked, "Bosses, what do you think? Will the price continue to rise?"

"Haha!" These people laughed again.

But unlike the previous laugh, this time it was a self-deprecating laugh.

Originally they thought they could control the principal, but the principal didn't buy it. He said, "If you mess with me, I will close my store and no one can play."

"I really don't understand why you are doing this. Am I missing out on your rent or your share? The business is going well. What good will it do you? It's just causing trouble for yourself. Of course, I'm not afraid of trouble. This is how I got through it." Fang Hong said again.

What this statement implies is that you can come as you please, but we are not afraid of you.

"Well, the principal really impressed me! I am impressed by his courage and determination." The CEO of Vanke sighed.

(End of this chapter)