Disney’s movie portfolio is set to receive a major boost as Marvel superheroes such as Iron Man and The Avengers will be heading to Chinese cinemas. The Walt Disney Company has been granted permission from China’s film regulator to release 10 Marvel superhero films in the country. The development will come as great news for Disney and its shareholders and represent a lucrative new market for the company to tap into.
For the first time since Disney acquired Marvel in 2009, Chinese cinemas are set to welcome the studio’s hugely successful superhero franchise. Having cleared the hurdle of gaining approval to show the movies and clearly seeing the huge potential that exists in the Chinese market, Disney can now look forward to earning millions of dollars in international revenues from the 10 Marvel films they are granted permission to show.
What Does this Mean for Disney?
The fact that Disney has been given the green light to show its Marvel superhero movies in China marks a huge moment for the company. Having gained permission to show the films, Disney stands to make millions off the back of a new audience that they are suddenly exposed to.
Disney stands to make millions off the back of a new audience that they are suddenly exposed to. It is likely that the box-office results from the recently released Marvel films including Iron Man 3, The Avengers and Thor: The Dark World will boost their domestic and international ratings even further, allowing Disney to reap massive rewards from the Chinese market.
Given the size and importance of the Chinese box-office, Disney’s decision to try and break into the market is a smart business move. The sheer scale of the potential market means Disney stands to benefit greatly from an increased exposure to the world’s largest movie market.
The Big Picture
As news of Disney’s success spreads, other brands across the entertainment industry are sure to take note and consider their own potential reach into the Chinese market. It is likely that the decision to allow Disney’s Marvel films to reach Chinese cinemas may even encourage other studios to increase their efforts to debut in the country.
In addition to the opportunities for Disney, the decision will also have far reaching effects for the Chinese film industry. It is likely that allowing these films to be released in the country will not only provide more family friendly entertainment for Chinese moviegoers but will also give the Chinese industry much desired access to the very large fan base Marvel films enjoy around the globe.
China Vs Hollywood
This announcement marks a significant moment in the ongoing struggle between Chinese regulators and Hollywood studios. For months, there have been disagreements between the two sides as to how films should be promoted, distributed and ultimately released in the country.
Disney having been granted permission to finally take their superhero films to the Chinese market shows that the two sides have now been able to come to an agreement, signaling the beginning of a much more promising relationship between the two.
What Does the Future Hold?
Moving forward, together with the increased presence of Hollywood films in Chinese cinemas, there are sure to be more opportunities for both sides of the table to work together and benefit from the lucrative overseas markets. It must also be remembered that Disney has a wide range of films in its library, so although this deal only allows for the release of Marvel films, other productions from the studio could also find their way to Chinese cinemas in the near future.
Overall, the recent decision to clear Disney’s Marvel films for release in China is great news for Disney and its shareholders, as well as for the Chinese film industry. The move allows the studio to tap into a potentially huge market and will also equip Chinese audiences with much desired access to some of the biggest superhero films of all time. With the Marvel franchise now firmly entrenched in the Chinese box-office, Disney stands to benefit greatly and provide a long-term boost to its movie portfolio.
