Case Study

Hollywood in Bombay – Bollywood in Beverly Hills: Indian Film Industry’s New Global Value Chain

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Abstract:
This case study’s primary objective is to enable a discussion on pros and cons of the alliances between Hollywood and Bollywood and provides insights about the possible synergies between the two.

Amidst stagnation in movie business in mature markets, Hollywood sets an eye on the emerging markets. Seeking ample opportunities to grow, it forayed into India by aligning with Indian production houses such as UTV Motion Pictures and Yash Raj Films by means of ‘Co-production’. But the differences in operating modes of both Hollywood and Bollywood, besides understanding the likes and dislikes of the audience, posed challenges for Hollywood. Challenging the convention, the movie Slumdog Millionaire set an example of the fusion of Western and Eastern ways of movie making, winning accolades across the globe. The emerging synergies between the two premier film industries of the world however would be successful only if they adapt to the overall culture of the two distinct industries.

With the two very different business and operating models, yet, the question remains – can both of them leverage on one another’s strengths?

Pedagogical Objectives:

• To study the strategic inflection points of Indian film industry and examine its transformation
• To examine the operating and business model of Indian film industry and analyse the feasibility of replicating some of the key strengths when it goes global
• To examine reasons why Hollywood finds this industry lucrative
• To examine the synergies for both the Indian and foreign players in this industry.

Contents:

• Emergence of the Indian Film Industry
• Globalisation of the Indian Film Industry
• Foray of the Hollywood Studios into India
• Synergies of the Collaborations

Keywords : Bollywood, Hollywood, Synergies, Value Chain of film industry, Studio-driven, Financing, Strategic Inflection Point, Star-driven, Collaboration