Organisational shifts in the feature film industry: implications for South Africa

Abstract

The last few years have proved turbulent for the international film industry. A wave of merger and acquisition activity has allowed the large entertainment companies to exert influence over the film value chain and raise entry barriers. At the same time there has been an organisational shift away from hierarchical production to a looser network structure wherein companies act as financing and distribution hubs, mobilising resources from outside. Although this has meant greater flexibility and lower overheads, it has also made assembling resources more problematic. These trends have important implications for South Africa, both threatening and opening up opportunities for the local film industry. This article looks at the current status and structure of the sector in an attempt to determine the implications of the international trends. It suggests that in this new arena, competitiveness is increasingly reliant on ease of contracting; audience development and effective distribution. As such, it reviews ways in which both the public and the private sector can help develop the responsiveness necessary for long-term growth.

Film production incentives, employment transformation and domestic expenditure in South Africa: visualizing subsidy effectiveness

“…Nevertheless, the South African film and television industry, centred mostly on the cities of Cape Town and Johannesburg, has grown significantly in the past 20 years (Creative Industries Report, 2008;NFVF, 2013). Existing skills and knowledge, advanced technical capacity, a great variety of locations, and competitive prices have all encouraged the production of foreign film and television series (Tuomi, 2007). Not only can such projects provide valuable foreign exchange inflow, but they are also an opportunity for skills transfer, further developing the capacity and competitiveness of South African labour in the industry.…”

Transformation, job creation and subsidies to creative industries: the case of South Africa’s film and television sector

“…However, the NFVF, an agency of the Department of Arts and Culture, has a greater concern with promoting South African content and the transformation of the industry to include black South Africans, who were previously excluded from many opportunities under apartheid (Tuomi 2007). The NFVF stated on their website in 2012 that, 'it is a moral imperative to create facilities for ordinary South Africans to bear influence in the expression of their own image, thereby deepening democracy and creating prosperity'.…”

“…Accordingly, while South Africa has considerable economic and natural advantages to such production in terms of labour cost advantages, use of English and diverse film locations that provide very accurate facsimiles for other country locations, its Government authorities and producer organizations still feel they must compete for FDI in subsidy terms (Tuomi 2007, Industry Report 2012.…”