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Creating Hit Movies

The One Thing that Makes All the Difference

You can’t judge the financial success of a movie by how much money it takes at the box office.

The worldwide box office for John Carter was $283 million. That looks like a massive financial success until you take into account the production cost of $250 million and estimated marketing costs of $100 million.

Achieving success in the movie business is tough: exhibitors take a big slice of the box office, distributors charge hefty fees and marketing costs are expensive, so a movie needs to return around three times the cost of production just to break even.

A quick way to estimate a movie’s financial success or failure is to divide the worldwide box office by its production budget. That gives you the cost to box

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