Business model

Asian Production Houses Make “Significant Changes” To Business Model Following K-drama Boom

Some Asian-based production houses are starting to change the way they do business in order to ride the growing wave of K-drama.

Due to the growing international popularity of Korean entertainment – as evidenced by the immense success of shows such as Squid game, Hellbound, hometown of Cha-Cha-Cha and more this year – there has been a global increase in demand for even more content from the East Asian country, according to a report by Variety.

This has caused production houses in Asia to refocus their operations to capture the current boom in K-dramas. One such company is Singapore-listed Spackman Entertainment, which recently sold leading independent production house Zip Cinema. (The priests, Golden sleep, the future Broker) to Korean Internet giant Kakao.

Talk to Variety, Spackman Entertainment chairman Na Kyoung-won said the company has felt “the need to make significant changes to our overall business model” due to the fact that “Korean content is becoming more and more global.”

Na also explained that their recent sale of Zip Cinema to Kakao has allowed the company to focus on “K dramas and international films”, adding that the move “signals a new beginning for our group.”

Meanwhile, a production manager at JTBC Studios (known for The The world of wives, Nevertheless and the next one Snowdrops) said it was “difficult to predict” the success of some K-dramas, both nationally and internationally.

“However, dramas of various genres will gradually be more popular than traditional dramas. [romantic comedies, family dramas]. Internationally, dramas with strong concepts should be successful, ”he said.