Hollywood National Advantage

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Next part of the essay is based on strengths and weaknesses in the cluster, besides with Porter (1990) "Diamond theory of National Advantage" in mind, we will understand and evaluate the competitive position of Hollywood film industry in global markets. Before mentioning the major strengths of the cluster, it is rather essential to pay attention to the geographical area in which this cluster is located. This might be regarded as Michael Porter "chance" concept. Even before Hollywood became film-making cluster in Los Angeles, its climate and unique landscapes inspired first filmmaking companies to arrive and settle in there. As time went by, in addition to natural climate the investment one was added by clever California state's policies. It…show more content…
As a matter of fact, there comes the first major strength of the cluster, which is technology. One of the reasons for the phenomenal success of Hollywood and the almost total inability of other world film producing clusters to compete. All this happened owing to these companies (which I partly already mentioned above) that have found, concentrated and moved resources from all around the world to America, notably in the Hollywood. The extent of collaboration between sub-institutions is also at the highest levels (sound recording, television broadcasting, computer animation, talent agencies are all interconnected). Surprisingly, that some occasions exist, when foreign companies work across oceans in other countries for the prosperity of Los Angeles studios (such as one of the world's largest special film effects studios, Weta Digital, which is situated in New Zeland). In addition to "Hollywood" film studios, a number of film establishments are based in the city, including the American Academy of Cinematography, the American Film Institute, and…show more content…
In his book "Producer Comes Out", Alexander Rodnyansky, (2013) famous Russian producer claims that making a movie in Hollywood is easier than anywhere else. According to Alexander the naturalness of the existence of film production in Los Angeles cannot fail to impress. This unbelievable American effectiveness is determined by three major factors. First one is the full clearness and preparedness of everything. The second factor is the professionality of all the participants of film making, the highest standards of film making, which are rules for American film industries. The third major factor, which determines the effectiveness of film producing in Hollywood, is a special working ethics, which is both inspired by home/foreign demand and partly connected to the American culture as a

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