The Political Economy of the Korean Film Industry: Focusing on the Korean Blockbuster and the Dominance of Multiplex

Sung Kyung Kim Sungkonghoe University Institute for East Asian Studies

/ 1 / Statistical Facts

[Audience, Korean / Foreign film]

5,549 7,938 6,008 8,065 5,498 8,729

5,556

5,431 Foreign Film 4,455

9,791 4,191 8,544 8,019 7,939 7,641 Korean Film 6,391 6,354 5,082 4,481 2,271 (%) 35.1 50.1 48.3 53.5 59.3 58.7 64.8 50.0 42.1 48.7

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 / 2 / Statistical Facts

Market share by country Market share by country (2010) (2011)

/ 3 / Brief history of Korean Film Industry

Regulatory Promotional Stablised/ Period Period Stagnation Stagnation Period

[small film related company] [big company] Independent 0000 [3 majors] [3 majors] Samsung, Hyundai, Local distributor CJ, Orion, Lotte CJ, Orion, Lotte Daewoo, SKC, CJ Theater

[2 major telecommunication] [2 major telecommunication] Corporate [small film related company] SKT, KT SKT, KT Management

[others] [others]

/ 4 / The Regulatory Period(1960~84)

Industry Policy

• Import business dominated • Licence System • Hostess film (dominance of government control) • Strong star systems • Import Quota System • Consorship (against any political message)

Affluent workers Urbanization Rapid increase of audience “Gold Age of Korean Cinema” / 5 / KOREA, 1960’s

Page 6 KOREA, 1960’s

Page 7 KOREA, 1960’s

Page 8 KOREA, 1960’s

Page 9 The Promotion Period (1985~2002)

Industry Policy

• More freedom for production • The fifth amendment of Motion • Korean New Wave (1987-97) Picture Law in 1984 • Rapid decrease of import business (licence to register) • Big Conglomerates considered to • U.S. direct distribution in 1987 start business in the film industries • Culture Industry Department • Various support and incentives from established in 1993 the Korean government • Abrogate the limitation of print in • More funds from finance sector 1994 (wide-release system) arrived • Screen Quota System (up to 140 days – 109days)

The Industrialization of Korean Film Industry Government’s promotion for Korean Wave / 10 / Korean Blockbuster

1) Korean materials + Blockbuster form

2) Strong narrative over spectacle

3) The phenomenology of national audiences

/ 11 / Swiri (1997) Joint Security Area(2000) / 12 / The Stabilised Period (2003~2007)

Industry Policy

• Second generation of conglomerates • Roh regime (2003~2007) focuses on managed to set up vertical integration supporting Korean Wave in foreign (production-distribution-exhibition) market; Relatively less support for - CJ (CJ Entertainment + CGV), ‘non’ profit films - Orion (+ Megabox) • Weakening Screen Quota: 146 days - Lotte (Lotte Ent. + Lotte Cinema) to 73 days in 2006 • The three majors occupy over 80% of the market • Rapid Increase of multiplex

Heyday of Korean Blockbuster with the dominance of multiplex / 13 / Number of Screen: Multiplex

2,055 1,975 2,004 2,009 1,974 1,880 No. of Screen 1,648

1,451

1,132 977 818 720 588 No. of Theater

373 373 344 321 309 280 302 301 314 300 305 301 292

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 / 14 / Silmido(2004) Taegukgi(2004) / 15 / (2005) Typoon(2005) Korean Peninsula(2006)

/ 16 / Korean Blockbuster

2nd Wave of Korean Blockbuster - The host (2006)

‘The blockbuster is no longer American owned. The idea may be borrowed and translated, but this should not be understood in terms of the original and the copy, where divergence from the original marks failure of authenticity. Instead, in the postcolonial politics, and globalized economics of blockbusters, borrowing and translation are only the first step on the road toward agency and creativity’ (Berry, in Stringer, 2003: 218).

The Host(2006) / 17 / Stagnation Period (2008~)

Industry Policy

• Third generation of Conglomerates • Less friendly towards ‘culture industry’ entered the market (Two major • Major players in the film industries fail telecommunication conglomerates) to get a fund because of their political • More interest on media content for view mobile network • Several films funded by right wing • Three majors use film industry in group have produced and distributed particular exhibition sector for attracting more people for their via major distribution network. major business (department store, mega store, and etc.)

Changing Meaning of Cinemagoing / 18 / Possible Research Topics 1. Shopping Mall and Multiplex

• Reconceptualising the existing meanings of cinemagoing; 1) cinemagoing as a cultural event; 2) cinemagoing as consumption of film text  the possibility of replacement • Film Theatre: Democratic space? Or Space for middle class consumption? • Phenomenology of space: Sensing cinemagoing practice • Ethnography of cinemagoing practice in multiplex

/ 20 / Page 21 Page 22 Page 23 Page 24 Page 25 Page 26 Page 27 2.Regional Blockbuster?!

Eternity(2005) Arrow(2010) (2012) / 28 / Asia Culture Industry

• Cooperation within region • Funding within region • Distribution across region • Imagining cinematic place in the level of region • Phenomenology of audience in regional level • *

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