China’s media and entertainment industry is expected to grow at an annual rate of 17% in the five years leading to 2015, significantly outpacing the country’s economy overall, according to a report released today by Ernst & Young. Part of that rise is attributed to growth in the Chinese box office which is expected to surpass the U.S. to take the No. 1 spot by 2020, the report says. China has already surpassed Japan as the No. 2 movie market. With the growth, however, the study says the country will continually be faced with regulatory and piracy obstacles. “The Chinese government is taking steps to reduce piracy. However, M&E companies still struggle to get fair value for their products and services”, the report says. There are several trends driving the growth, including increasing disposable income. Spending on entertainment and recreation jumped from $350 billion in 2010 to $547 billion last year.
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This article was printed from http://www.deadline.com/2012/11/china-predicted-to-surpass-u-s-box-office-by-2020-report/