Huayu: Starting from joining the mainstream entertainment industry in 96

Chapter 90, Section 89: The Prodigy of Beijing Film Studio
September 30, 1996, 9:00 AM.

The atmosphere in the large conference room of the Beijing Film Studio, which has a rich historical feel, was both solemn and warm.

The oval-shaped conference table was filled with directors or deputy directors from thirty film studios across the country, as well as core members of the Beijing Film Studio.

Smoke swirled, the aroma of tea filled the air, and the hushed conversations in various accents created a buzzing background noise.

Han Sanping sat in the main seat, his face calm and his eyes sharp as he surveyed the entire room, exuding an air of authority without anger.

Wang Sheng sat slightly to his left, with a thick notebook and several pages of outlines spread out in front of him, his expression focused and calm.

"Good morning, everyone!" Han Sanping's loud voice drowned out the noise in the room, and the conference room fell silent instantly.

He got straight to the point, without much small talk: "Thank you all for taking time out of your busy schedules to come to our Beijing Film Studio from all over the country to discuss important matters. The purpose of inviting you all here today is one thing—what should we, these old friends, these state-owned film studios, do next? How can we survive, thrive, and even wait for the day when the film market returns to its former glory!"

His tone was heavy and went straight to the point, instantly resonating with all the factory managers present.

Those present are all veterans of the film industry, having personally experienced the glory of the planned economy and the growing pains of the market economy. Declining factory profits, aging equipment, talent loss, and creative stagnation are the common predicaments we all face.

“Complaining won’t bring about a turnaround, and sticking to our old ways and going hungry isn’t a solution either.” Han Sanping changed the subject, pointing to Wang Sheng beside him: “Fortunately, our Beijing Film Studio has produced a Wang Sheng. This guy is bold and quick-witted. He led a group of young people and managed to carve out a path for the wedding video production industry, which nobody had high hopes for. He gave the studio a chance to breathe and also learned some market-oriented experience.”

All eyes were once again focused on Wang Sheng, now filled with scrutiny and anticipation, a stark contrast to the curiosity they had shown during their breakfast meeting.

Han Sanping continued, "But Wang Sheng has a long-term vision. He told me that making wedding films isn't a sustainable business. Our film studio's foundation must remain on content production. But making films these days is risky and expensive, so what can we do?"
His idea was to first use TV dramas to train his troops, then use the money from TV dramas to support the team, upgrade equipment, accumulate capital, and wait for the right opportunity!

Today's meeting is to have Wang Sheng explain in detail how our 31 film studios can band together to successfully expand and broaden the path of television drama production!

Wang Sheng stood up under Han Sanping's encouraging gaze and walked to a small whiteboard that had been reserved in front of him.

He faced more than thirty senior figures who could be considered "regional leaders" in the Chinese film industry and calmly began to speak: "Dear factory directors and leaders, I am Wang Sheng."

"Director Han, you flatter me. I simply had a bit of luck and made some attempts. I'm standing here today to present a preliminary idea to you all, hoping to spark some discussion and help us find a way out for our film industry."

His voice was clear and his speech was not fast, but it carried an undeniable certainty.

"My plan can be summarized in two points: First, relying on the natural blood ties between each factory and local television stations at all levels, we will build a nationwide television drama distribution network."

Second, led by the Beijing Film Studio, the most valuable production resources from 31 film studios—including equipment, skilled workers, directors, and screenwriters—were integrated and coordinated to produce television dramas in a professional and large-scale manner.

He drew two large circles on the whiteboard, one labeled "Production Alliance (Beijing Film Studio Coordinator)" and the other "Distribution Network (Local Studios)" and then connected the two with a thick line.

"Why TV dramas?" Wang Sheng asked himself and answered, "Because the market demands it! There are thousands of TV stations across the country that need a massive amount of program content every day, especially high-quality TV dramas, which are a guarantee of high viewership."

Our film studio boasts the most professional talent, the most mature production processes, and the strictest quality standards!
Using film production resources to produce television dramas is a game-changer; it easily creates high-quality dramas that far surpass the standards of ordinary television production companies!

He paused, observed the reactions of the crowd, and saw that many people nodded slightly, clearly agreeing with his assessment.

Although I hadn't heard the term 'dimensional reduction attack' before, it's not hard to understand when you consider the context.

“But going it alone won’t work.” Wang Sheng emphasized, “A film studio might occasionally produce one or two good dramas, but it can’t create a stable supply, nor can it maximize its profits from distribution. We must band together! We must form a production community and a distribution community!”

Next, Wang Sheng began to explain the specific cooperation model: "On the production side, the production center jointly established by Beijing Film Studio and Shengying Media will be responsible. We will be responsible for project planning, script development, assembling the crew, and bearing all production costs."

For each factory manager's factory, only two types of support are required based on project needs: first, leasing of idle or dispatchable equipment, settled at market price;
Secondly, outstanding technical workers, directors, and actors will be recommended or dispatched to participate in the production, with labor costs paid by the production center.

This means that you can keep the factory's equipment and personnel busy and profitable, maintaining production and technical standards, without investing a single penny of cash.

These words sparked a murmur among the audience. The fact that participation was possible without investing money undoubtedly lowered the barrier to entry and alleviated many factory managers' concerns.

"The distribution side is where all the factory managers have their strengths and home turf!"

Wang Sheng raised his voice: "After the series is completed, we will grant broadcasting rights to various film studios in different regions."

Please leverage your local network of contacts built up over the years to negotiate sales with provincial, municipal, and even influential county-level TV stations.

Prices can be flexible, but the bottom line is that profitability must be guaranteed.

After deducting 10% for distribution expenses, the profits from sales are split 50/50! The production company takes 50%, and the local film studios responsible for distribution take 50%!

This 10% distribution fee also goes to the respective film studios, mainly used for public relations. Everyone knows what that means, so I won't elaborate.

"Fifty-fifty"?

Someone below couldn't help but speak up.

This revenue sharing ratio is quite generous, since the issuer is essentially making a profit without any investment; they only need to leverage their network of connections.

"This is just a preliminary idea, and we can still discuss it." Wang Sheng responded calmly: "The goal is to ensure fairness and motivate everyone. We have calculated that even if we sell at the industry average price, as long as the quality of the dramas is excellent, each factory can obtain a considerable net profit by releasing just a few dramas each year. This is enough to alleviate the factory's economic pressure and even provide funds for equipment upgrades and talent training."

He surveyed the room with a piercing gaze: "More importantly, through this method, we can unite the thirty-one film studios into a powerful alliance of interests."

We share project information, standardize production processes, coordinate distribution strategies, and create a unified voice and brand to the outside world!
This will greatly enhance our bargaining power, allowing us to counter the pressure from traditional distribution channels such as provincial film companies. In the future, we might even be able to offer our scheduling suggestions to television stations, gaining greater control!

Wang Sheng walked to the whiteboard and drew an upward arrow with force: "This is a positive cycle! Smooth distribution network > No worries about selling dramas > More confidence in production investment > Production of higher-quality works > TV stations are more willing to buy, and audiences love watching > Higher profits > Further support for production and distribution!"

Only in this way can we use the money earned from television dramas to support our team, upgrade our equipment, train our personnel, and prepare sufficient resources and elite soldiers for the future recovery of the film market!

He paused for a moment, then his tone became deep and earnest: "Leaders, we are not doing this to steal anyone's market share, nor are we neglecting our duties."

We are fighting for survival, trying to preserve the flame of the entire state-owned film production system! If even we can't survive, those expensive equipment will become scrap metal, those master craftsmen with superb skills will be forced to change careers, and the foundation of the Chinese film industry will truly be shaken!

We're using the film studio's resources to expand into the television drama market; we're trading space for time, we're trying to survive until the day we can make movies openly and legitimately again!

These words, spoken with sincerity and conviction, deeply touched the deepest feelings and anxieties of many factory directors.

The conference room was silent, with only the smoke slowly rising.

Wang Sheng concluded, "These are the core points of the plan. Details can be refined over time, and interests can be negotiated properly. But I firmly believe that only by abandoning sectarianism, sticking together, and forming a united force can we lead our respective factories through this winter, live up to the expectations of the employees who have worked with us their whole lives, and fulfill the responsibility we bear for the development of Chinese cinema!"

He bowed slightly and returned to his seat.

After a brief silence, the conference room erupted in enthusiastic applause.

This applause was an acknowledgment of Wang Sheng's clear thinking and courage, and even more so, an expression of anticipation for this possible path to survival.

Han Sanping looked at Wang Sheng with satisfaction, then stood up to take charge: "Alright, Wang Sheng has brought out the dishes. Whether they're salty or bland, everyone can taste them and give us your opinions! Now, feel free to speak. If you have any questions, concerns, or even better ideas, please speak them out!"

Below the stage, the director of Changchun Film Studio, looking at the composed and capable Wang Sheng, couldn't help but sigh softly to the director of Xi'an Film Studio beside him: "The younger generation is truly formidable! This way of thinking, this eloquence, this sense of responsibility... Tell me, why didn't we produce such talent in our studio?"

The director of Xi'an Film Studio looked at Wang Sheng with a similarly complicated expression, shaking his head with a wry smile: "Brother, don't say anything, I can't be envious. That old bastard Han Sanping is really damn lucky! He picked up such a treasure... Sigh, if the guys in our factory had half of Wang Sheng's drive and brains, I wouldn't be so worried!"

(End of this chapter)