Peninsula: You've been chosen here for producing girl groups.

Chapter 138 Special Edition

"The second inherent weakness of the Korean entertainment ecosystem is the limited potential of the domestic film and television consumer market, which makes it difficult to revitalize the Korean drama industry chain, and the entire ecosystem is extremely fragile."

"As the broadcasting terminals for Korean dramas, the three local TV stations cannot afford the cost of purchasing dramas, nor can they cope with the risk of dramas failing to achieve high ratings."

"Thus, the unique ecological model of South Korea came into being."

Under the "production and broadcasting integration" system, television stations lead the production and broadcast of dramas, acquiring the copyrights through collaborations with production companies by paying only a small production fee.

"If a TV station owns the copyright, it means it controls the distribution of revenue throughout the entire lifecycle of the series."

"This collaborative model, which allows production companies to bear the majority of production costs, greatly mitigates the risk of losses if a TV station purchases a series that fails."

Mr. Li said he had seen it all.

South Korean television stations are small and cannot afford the huge costs of purchasing dramas.

At the same time, if a TV station buys several bad dramas and ends up with nothing, unable to recoup its investment, it may teeter on the brink of bankruptcy.

In order to ensure the stable operation of the TV station, the production company has no choice but to endure hardship.

However, the production company bears the vast majority of the production costs of a TV series, but does not have the copyright to the TV series. How is this any different from being a sucker?

The distribution of profits is dominated by the television station.

The production company is at the mercy of others.

He could imagine how many conflicts and disputes would arise from this.

If the TV series performs reasonably well in terms of viewership after its release, the production company will receive a steady stream of revenue from ad placements, product placements, copyright fees, and other sources.

If the TV series performs poorly and the revenue from various sources is insufficient to cover the production costs, who will absorb this mess?

Isn't it a production company?

This collaborative model, to put it bluntly, means that the production company provides the money and effort, acting as the laborer to support the television station.

"The current revenue distribution model is that TV stations receive all the revenue from ad slots and online streaming, while sharing the remaining copyright revenue with the production company."

"The main source of revenue for the production company is product placement in Google Play and royalties."

"Only well-produced and high-quality dramas have the opportunity to receive product placement and sell multiple copyrights. In another sense, this distribution model is forcing production companies to focus on production."

"However, things often don't go as planned. The television station's overly centralized power puts the production company in a very passive position in the collaboration."

"There are no industry regulations on the proportion of production costs that production companies and TV stations should bear respectively. In practice, TV stations often prefer to reduce their own investment or even temporarily delay payment."

Good guy.

Mr. Li was stunned.

This collaboration model is hilarious.

Not wanting to spend a single penny is just trying to get something for nothing, isn't it?

Similarly, in principle, the production company should receive the majority of the copyright revenue, but there is still no explicit regulation on the specific proportion.

Holy crap.

The TV station owns the copyright and controls the entire copyright transaction process. They can take whatever money they want and then casually give the production company a small bonus.

Which production company will take the lion's share?

I'll give you 51%.

Doesn't 51% represent two percentage points more than 49%? Does that mean it accounts for the majority?

Mr. Li shook his head: "This is definitely going to cause trouble."

This special feature is rich in pictures and text, vivid and interesting. In just over five minutes, the video clearly explains the chaotic ecosystem of Korean dramas. Even a layman like him can see that something is wrong.

"The production company was struggling with the current situation and eventually evolved a way to survive."

"Currently, a situation has emerged in the industry where production companies often set up a shell company to take the lead in the production of TV series when they participate in the production."

"If the project runs into funding problems, our own company can quickly separate from the shell company."

"For example, when faced with a TV station owing production fees, shell companies would pass the burden down to lower-level employees, using the unpaid funds as payment to actors and outsourced workers."

Triangular debt?!

Upon seeing this, Li's father understood.

This is essentially the production company finding a way to distance itself from the situation, leaving the TV station, actors, and outsourced workers to deal with the mess.

Just as he guessed, when the TV station never paid any production costs, the actors and outsourced staff would be owed wages.

The video provides a prediction:

If the production model centered on television stations doesn't change, similar shell company models will become prevalent throughout South Korea.

This will eventually lead to a crisis in which a large number of actors and outsourced workers are owed wages, and will also fall into a vicious cycle, just like an economic crisis.

This refers to the "cyclical salary crisis in the Korean drama market".

Will a crisis really break out?

Mr. Li fell into thought.

The previous special exposed how South Korean music management companies were exploiting their idols, and predicted that a large number of contract termination disputes would occur in the South Korean music industry in the future.

Many netizens believe this is an exaggeration.

This prediction seems logical at first glance, but it also has a bit of a shocking, unconventional feel to it.

Why is he so concerned about this?

It has nothing to do with him.

The special feature concludes with a few suggestions:

1. Attracting fish.

Further relax the application standards for cable TV stations and support cable TV stations to compete with the three major terrestrial TV stations.

II. Opening up channels.

Abandon the model of exclusive on-demand viewing on TV station websites, support local video websites, and develop online copyright operation of Korean dramas in South Korea.

Third, weaken power.

Korean dramas are now quite mature in major Asian countries, and production companies can take the lead in overseas copyright export transactions.

IV. Industry standardization.

Strictly define and enforce industry standards, including the proportion of production costs to be borne and the proportion of subsequent revenue distribution, to constrain irregularities through regulations.

"That's interesting."

After washing up, Li's father lay on the edge of the bed, still pondering this question.

After daybreak, on his way to the restaurant for breakfast, he immediately shared this special with his daughter, Ji Xue, hoping to broaden her horizons.

Li Xue was greatly surprised.

As someone who was about to enter the industry, she was astonished by the shamelessness of South Korean television.

But she also felt that this matter had little to do with her.

"Dad, don't worry. Our company has a very good relationship with the TV station. They don't owe any of their own pay to the artists under our company."

"Too."

"However, each of these special features is more in-depth than the last."

In order to adapt to life here as soon as possible, Li Xue did a lot of research and wanted to learn about the entertainment industry here.

After searching around, only one program, "Weekly Korean Entertainment Report," caught her eye.

The content is detailed and professional.

Each episode routinely summarizes the week's popular movies, TV shows, variety shows, and songs, providing professional commentary and giving viewers a basic understanding of South Korea's popular culture.

She almost never missed a period.

"With frequent contract terminations and recurring salary crises, who knows what the next so-called 'inherent weakness' will be, and what predictions can be made?"

The two of them chatted casually about various topics.

Time slips away quietly.

The three of them are going to the company to sign a contract today.

Having already reviewed the contract many times in China, I was fully aware of each other's rights and obligations and had no objections. The contract was signed in just a few minutes.

The only regret is that Han Shuo is currently filming and is temporarily unable to receive them.

"The board members have asked us to entertain several guests. Over the next two days, we will send someone to show them around Seoul. Is that alright?"

"That's troublesome."

Having finally gotten the chance to travel abroad for free, the family of three naturally wanted to have a good time in Seoul.

The person who showed them around was a fellow Chinese, and he was very dedicated and responsible. He would give them helpful suggestions for sightseeing, and when they came across some filming locations for Korean dramas, he would even explain things to them like a tour guide.

It was evening.

The group of four arrived at Yeouido and were going to have a meal at the Yeouido Sky Garden.

"What is that?"

A dozen or so people were gathered in front of a building, some with signs hanging around their necks, others holding up signs in their hands, seemingly in a protest.

The staff explained to them, "These are members of the artists' union, and they are expressing their demand for a pay raise to KBS."

According to the other party, this struggle over salary increases has been going on for more than half a year.

After Han Shuo emerged and began buying up Korean dramas and variety shows, this new source of income fueled the conflict between the two sides, and their confrontation intensified.

The artists' union has now sent an ultimatum to KBS.

If a satisfactory response is not received within five days, the artists' union will mobilize all its members to stage a strike and refuse to appear in any KBS television programs or dramas.

"Really?"

This direct and intense way of responding to demands was something that Li Xue and her family of three couldn't understand.

"They're not really going to boycott the show, are they?"

"Yes."

The staff member said with certainty, "As long as the TV station doesn't back down, the artists' union will definitely organize a strike and bring KBS to a standstill."

He could understand the shock of the three members of the Li family.

This direct strike to express demands may seem too extreme to Chinese people, but it's as common as eating and drinking in South Korea.

Li Xue and her father exchanged a glance.

Both sides immediately thought of today's special.

Judging from the way things are done in China, television stations hold a high position, and production companies and actors have to rely on them. It's unlikely that they would break ties with each other.

But now it seems they were very wrong.

If the so-called shell company model becomes prevalent in Korean drama production, it might actually lead to periodic salary crises, and consequently, large-scale strikes.

Gee tut.

That evening, Li Xue shared her experiences from the day in the class group chat.

The female students generally had a lukewarm reaction to this, at most saying that they liked to watch the fun and were looking forward to seeing some kind of periodic pay crisis.

The male students, however, were arguing fiercely, determined to leave the other side speechless. They frantically flooded the screen with comments, quoting classics and expressing their own opinions.

Those who know them will understand that they are discussing a certain topic, while those who don't might think they are participating in some kind of election.

Ultimately, the supporting arguments prevailed.

Ultimately, young people like to support resistance against authority and to speak out against injustice. In their eyes, the three major South Korean terrestrial television stations are evil dragons that should be slain.

"This special feature seems to be very popular with users. It has already entered the top ten of the site's video popularity chart in less than a day since its release."

Han Shuo is also closely monitoring the feedback on this special feature.

In addition to sharing his views and interpreting, deconstructing, and reconstructing the Korean drama ecosystem, he also intends to use this special feature to offer advice to production companies and actors in South Korea.

Ideally, the power of television stations should be curbed and weakened.

We will strive to loosen restrictions on Bilibili's business in South Korea.

If the dominance of the three major terrestrial TV stations had been weakened earlier, Bilibili's content system in South Korea could have introduced professional Korean dramas, movies, and variety shows sooner.

Currently, "Weekly Korean Entertainment News" is only available on domestic websites.

However, a significant portion of the actors who go to China to make money have accounts on Bilibili, which may allow them to naturally attract traffic and generate buzz through word of mouth.

If this special feature doesn't get attention from the industry, we'll have to find a way to boost it.

Perhaps it was his actions that caused the butterfly effect, resulting in substantial copyright fees being paid to the three local TV stations. As a result, the local artists' union has adopted a very firm stance of resistance.

They put extreme pressure on KBS television station three or four days in advance.

On the afternoon of May 2, under immense pressure, KBS, as the national broadcaster, took the lead in yielding and expressed its willingness to accept the salary increase standards proposed by the artists' union.

Kim Eung-seok, chairman of the artists' union, told the media, "We will put pressure on MBC and do our best to fight for the artists' salaries."

The artists' union is putting pressure on MBC.

MBC immediately turned around and asked him to buy a few more Korean dramas and variety shows.

"Look, you recently bought SBS's 'Love Letter' and 'X-Man,' and KBS's 'You Are My Destiny,' but you forgot about MBC."

"Let me have someone assess it."

Han Shuo has a large amount of loans and plenty of money to buy copyrights.

However, he wants to wait for the Korean won to depreciate further and for the economic crisis in the second half of the year. He says he wants to make an assessment, but he is actually just making excuses and delaying.

With KBS once again taking the lead in backing down, the remaining two major television networks are becoming increasingly nervous.

They were terrified that their show would be the only one to face a strike.

They kept trying to get some of the salary increase expenses from him.

He could only decline these so-called collaboration proposals by citing that he was focused on filming.

The short drama "Suddenly Back to Eighteen" covers several stages, including the male lead gradually learning about the female lead's past, their sweet interactions, and his eventual rescue of her.

It's a perfect opportunity to film several music videos for the Chinese digital album.

Because of his excellent working relationship with Kang Han-na, the filming progressed quickly, and the original five-day filming schedule ended early on Thursday afternoon.

He met Li Xue at the company.

Ji Xue currently has a youthful appearance and, like Zhang Tian'ai, is a bit chubby. She urgently needs to lose weight to make her facial features more defined.

"You have two Chinese students in your dorm, Nini and Nazar. If you have any questions, feel free to ask them. If you encounter any problems that you can't solve, you can contact me directly."

"I've got it."

Li Xue smiled, her eyes crinkling.

Her smiling eyes are beautiful.

Different curvatures create different visual effects, which are quite beautiful.

"Start practicing tomorrow. You are a top student at the Beijing Dance Academy with excellent dance skills. I hope you can get used to the rhythm of modern dance as soon as possible."

Li Xue/Li Yitong.