Chertkov Denis

The main points of the text

The spread of American companies in foreign countries can have
unexpected consequences. These concerns are also present with regard to films and
the entertainment industry more broadly. Countries try to protect their local
cultural industries by various ways, for example, by restricting the number of
foreign films that can be shown. But it limits people’s choice to consume what
they prefer and it seems that government doesn’t trust its people to make the
choices that are right for them.
Globalization may accelerate cultural change, but since change is driven by
the choice of consumers, the elements of a particular culture will inevitably reflect
consumer choice.
The main reasons for the dominance of the American Market:
 the size of the market (the U.S. is one of the largest markets in the
world);
 the wealth of the U.S. economy (the United States accounts for nearly
25% of global economic output);
 a comparatively homogenous culture (consider that 97% of the U.S.
population is considered fluent in English language. The ability to speak
English grants one access to hundreds of millions of other people around the
world).
Producers of goods and services that can reach the entire U.S. market tend to
find themselves in dominant positions. For instance, because the U.S. market is so
large and so affluent, a Hollywood producer from a major film studio can easily
invest $100 million into the production of a film and be confident that its
investment will be recouped. Having produced a movie for the U.S. market, a
successful film can then be “exported”, or viewed worldwide, for very little extra
cost. Therefore, these combined factors of market size and wealth have given U.S.
producers of films, television programs, and magazines an enormous advantage
over foreign competitors.