1. Hong Kong FILMART & HAF 2008 1 Prepared for Hong Kong Trade Development Council March 2008 Hong Kong FILMART & HAF 2008

2. 2 METHODOLOGY –Timing of fieldwork:March 17-18, 2008 –Target group: Total 338 respondents 84 exhibitors; 254 visitors –Fieldwork:Face-to-face interview at the Exhibition Venue

3. Hong Kong FILMART & HAF 2008 3 RESPONDENTS ’ BACKGROUND INFORMATION

4. Hong Kong FILMART & HAF 2008 4 COMPANY BASE OF RESPONDENTS EQ A1/ BQ A1 Respondents:84 Exhibitors Exhibitors Hong Kong 24% Chinese Mainland 9% Asia Pacific 32% Europe 18% Americas 16% Visitors Respondents:254 Visitors Hong Kong 19% Chinese Mainland 12% Asia Pacific 36% Europe 20% Americas 13%

5. Hong Kong FILMART & HAF 2008 5 EQ/BQ A3 NATURE OF MAIN BUSINESS OF RESPONDENTS Respondents:84 Exhibitors254 Visitors % % Exhibitors Visitors Film TV Digital Entertainment & Others

6. Hong Kong FILMART & HAF 2008 6 INDUSTRY OUTLOOK

7. Hong Kong FILMART & HAF 2008 7 EQ B1 PERCEPTION OF PAST 12 MONTHS BUSINESS RESULT Very good Quite good Average Very/ quite poor % Very/ quite good74%69% Overall (Worldwide) Hong Kong Respondents:All exhibitors8416 [ ] indicates findings in 2007 - [64%][60%]

8. Hong Kong FILMART & HAF 2008 8 EQ/BQ B2 GROWTH PROSPECT (WORLDWIDE) Very/ quite good66%65%61%82% Respondents: All exhibitors and visitors 3382196233 Overall FilmTVDigital Entertainment IndustryIndustryEntertainment Industry % Very good Quite good Average Very/ quite poor - Uncertain*%-2%-

9. Hong Kong FILMART & HAF 2008 9 BQ B3-4 TOP 5 SOURCES FOR CONTENTS ACQUISITION FROM ASIA % Respondents:254 Visitors Past 12 MonthsNext 12 Months % Hong Kong Chinese Mainland Japan South Korea Thailand

10. Hong Kong FILMART & HAF 2008 10 EQ B6/BQ B9 MARKET WITH THE HIGHEST POTENTIAL FOR HONG KONG CONTENT Respondents:All Hong Kong exhibitors and visitors 338 2196233 OverallFilmTV Digital Entertainment 1.Chinese Mainland 2.Taiwan 3.US 4.Japan 1.Chinese Mainland 2.US 3.Taiwan 4.Japan 1.Chinese Mainland 2.Taiwan 3.US 4.Japan 1.Chinese Mainland 2.Taiwan 3.US 4.Japan

11. Hong Kong FILMART & HAF 2008 11 EQ B7/BQ B10 TOP MOST SALABLE GENRE FOR HONG KONG Film Industry Respondents: Film industry exhibitors and visitors 219 TV Industry Digital Entertainment Respondents: TV industry exhibitors and visitors 62 Respondents: Digital entertainment exhibitors and visitors 33 1.Action/ Kung Fu 2.Comedy 3.Animation 4.Drama 1.Action/ Kung Fu 2.Comedy 3.Drama 4.Animation 1.Action/ Kung Fu 2.Animation 3.Drama 4.Comedy

12. Hong Kong FILMART & HAF 2008 12 INDUSTRY TREND

13. Hong Kong FILMART & HAF 2008 13 CO-PRODUCTION IS THE LATEST WORLD TREND IN THE ENTERTAINMENT INDUSTRY C3a-b Yes 92% No 8% % Regions that are going to have a closer co-production relationship HK/Chinese Mainland HK/Asia market HK/Europe market HK/US market Chinese Mainland/Asia market other than Hong Kong Respondents: All exhibitors and visitors338 Respondents: Those who agree that co-production is the latest world trend in the entertainment industry 310

14. Hong Kong FILMART & HAF 2008 14 EQ C1 CROSS MEDIA CONVERGENCE BRINGS MORE BUSINESS OPPORTUNITIES Respondents: All exhibitors 84 [ ] indicates findings in 2007 Strongly agree/ agree86% Uncertain/ Don’t know1% Strongly agree Agree Neutral Disagree/ Strongly disagree [81%] [20%] %

15. Hong Kong FILMART & HAF 2008 15 BQ B5 MORE AMOUNT OF COPYRIGHTS ACQUIRED ON MOBILE CONTENT IN 2007 More Remains the same Less % Do not acquire copyrights on mobile content23% Respondents: All visitors 254 [ ] indicates findings in 2007 [23%]

16. Hong Kong FILMART & HAF 2008 16 INVESTING IN DIGITAL TECHNOLOGY MOBILE BROADCASTING DEVICES IN THE COMING 3 YEARS EQ/BQ C6-C7 Mobile Devices Plan to invest in coming 3 years 52% No plan to invest in coming 3 years 48% Respondents:Those who will invest in mobile devices in the coming 3 years176 % Digital Technology Plan to invest in coming 3 years 74% No plan to invest in coming 3 years 26% Respondents:Those who will invest in digital technology in the coming 3 years249 % Digital technology in production Broadband broadcasting Interactive technology for viewers Mobile phone Laptop Respondents: All exhibitors and visitors338

17. Hong Kong FILMART & HAF 2008 17 ROLES OF HONG KONG

18. Hong Kong FILMART & HAF 2008 18 EQ B3/BQ B6 PLAN TO EXPAND/ START BUSINESS IN HONG KONG & CHINESE MAINLAND IN NEXT 3 YEARS Overall FilmTVDigital Entertainment IndustryIndustryEntertainment Industry % % Respondents: All exhibitors and visitors 338 2196233 (Definitely/ probably would) Expand/ start business in Hong Kong Expand/ start business in Chinese Mainland

19. Hong Kong FILMART & HAF 2008 19 EQ C2a-2b/BQ C1a-1b HONG KONG IS THE BEST PLATFORM REACHING CHINESE MAINLAND Respondents: All exhibitors and visitors338 To explore more co-production opportunities with China To meet more Chinese Mainland buyers Uncertain/ Don’t know2% Uncertain/ Don’t know2% % Strongly agree/ agree83%Strongly agree/ agree80% Strongly agree Agree Neutral Disagree/ Strongly disagree Strongly agree Agree Neutral Disagree/ Strongly disagree

20. Hong Kong FILMART & HAF 2008 20 EQ C2c-2d/BQ C2a-2b HONG KONG IS THE BEST PLATFORM REACHING OTHER ASIAN AREAS % To explore more co-production opportunities in other Asian areas % To meet other Asian buyers Strongly agree/ agree79%Strongly agree/ agree83% Strongly agree Agree Neutral Disagree/ Strongly disagree Uncertain/ Don’t know1% Uncertain/ Don’t know1% Strongly agree Agree Neutral Disagree/ Strongly disagree Respondents: All exhibitors and visitors338

21. Hong Kong FILMART & HAF 2008 21 EQB4-5/BQ B7-8 HK ACTS AS A MAJOR CONTENT PRODUCTION, DISTRIBUTION, TRADING & FILM FINANCING CENTRE IN ASIA Strongly agree/ agree % Creative talent43% Strong distribution networks in Asia35% World class industry events 24% State-of-art technology22% High on-screen production values22% CEPA 16% Drivers Narrow genre4% Other Asia economies produce better film/ TV/ online games, etc4% Piracy3% Smaller budget production 3% Potential Hindrances Respondents: All exhibitors and visitors 338

22. Hong Kong FILMART & HAF 2008 22 EQ/BQ C4 HK IS THE HUB OF BUYING AND SELLING CHINESE FILM AND TV DRAMA Strongly agree Agree Neutral Disagree/ Strongly disagree Respondents: All exhibitors and visitors338 Strongly agree/ agree71% Uncertain/ Don’t know1% %

23. Hong Kong FILMART & HAF 2008 23 EQ D11/BQ D10 MOST IMPORTANT FILM MARKET & FILM FINANCING EVENT IN ASIA Respondents: All exhibitors and visitors 338 Most Important Film Market in Asia FILMART (Hong Kong) 60% Most Important Film Financing Event in Asia Hong Kong-Asia Film Financing Forum (HAF) 67% Others 40% Others 33%

24. Hong Kong FILMART & HAF 2008 24 EQ/BQ D2 HONG KONG-ASIA SCREENING PROVIDES GOOD CHOICES FOR ACQUIRING FILM CONTENTS Respondents: All exhibitors and visitors 338 Yes 69% No 4% Neutral 15% Uncertain 12%

25. Hong Kong FILMART & HAF 2008 25 EQ/BQ D4 THEMATIC PAVILIONS AT FILMART THAT HELP DEVELOPING CROSS MEDIA BUSINESS/ PARTNERSHIP Respondents:All exhibitors and visitors 338 Animation & DigitalEquipment &TVLocations Entertainment Post-productionWorldWorld-Asia WorldServices World % Strongly agree/ agree70%61%62% 58% Strongly agree Agree Neutral Disagree/ Strongly disagree

26. Hong Kong FILMART & HAF 2008 26 WHETHER HAF WILL FURTHER ENHANCE HONG KONG ’ S POSITION Strongly agree Agree Neutral Disagree/ Strongly disagree % Content production centre Film financing centre Respondents:All exhibitors and visitors338 EQ D10/BQ D9 Strongly agree/ agree75%71% Uncertain/ Don’t know7%8%

27. Hong Kong FILMART & HAF 2008 27 EXECUTIVE SUMMARY

28. Hong Kong FILMART & HAF 2008 28 SUMMARY Industry players continue to be positive about the growth prospect, especially the digital entertainment sector. 70% of the companies plan to expand/ start business in Hong Kong or the Chinese Mainland in next 3 years. In particular those from the TV industry, about 80% of them are interested in building their business in these two regions. Chinese mainland is the highest potential market for Hong Kong content. Industry players expect co-production relationship between Hong Kong and Chinese mainland is going to be closer. Vast majority anticipate more business opportunities to be brought by cross-media convergence. Compared to 2007, more amount of copyrights on mobile content has been acquired. Industry players also have plans to invest in digital technology (74%) and mobile broadcasting (52%) in the coming 3 years.

29. Hong Kong FILMART & HAF 2008 29 SUMMARY Around 80% of the respondents agreed Hong Kong is the best platform in reaching the Chinese Mainland and other Asian areas' buyers and exploring co-production opportunities in these regions. Hong Kong is largely recognized as the hub for content, production, distribution, trading and film financing centre in Asia and also for selling Chinese film and TV drama.

30. Hong Kong FILMART & HAF 2008 30 EQ B8/BQ B11 ACTORS Respondents: Film industry exhibitors and visitors 219 MOST SALEABLE MALE FILM STARS WHO TAKE PART IN HONG KONG FILM (IN ALPHABETICAL ORDER)  Alex Fong ( 方力申 )  Andy Lau ( 劉德華 )  Chow Yun Fat ( 周潤發 )  Donnie Yen Ji-dan ( 甄子丹 )  Jackie Chan ( 成龍 )  Jet Li ( 李連杰 )  Stephen Chow ( 周星馳 )  Tony Leung Chiu Wai ( 梁朝偉 )

31. Hong Kong FILMART & HAF 2008 31 EQ B9/BQ B12 MOST SALEABLE FEMALE FILM STARS WHO TAKE PART IN HONG KONG FILM (IN ALPHABETICAL ORDER) Respondents: Film industry exhibitors and visitors 219 ACTRESSES  Angelica Lee Sin Je ( 李心潔 )  Carina Lau ( 劉嘉玲 )  Cecilia Cheung ( 張栢芝 )  Charlene Choi ( 蔡卓妍 )  Maggie Cheung ( 張曼玉 )  Maggie Q  Michelle Yeoh ( 楊紫瓊 )

32. Hong Kong FILMART & HAF 2008 32 EQ/BQ B13 MOST SALABLE HONG KONG FILM DIRECTORS (IN ALPHABETICAL ORDER) Respondents: All exhibitors and visitors 338  Andrew Lau Wai Keung ( 劉偉强 )  John Woo ( 吳宇森 )  Johnnie To ( 杜琪峰 )  Jackie Chan ( 成龍 )  Stephen Chow ( 周星馳 )  Wong Kar Wai ( 王家衛 )

33. Hong Kong FILMART & HAF 2008 33 EQ/DQ B14 MOST POPULAR HONG KONG MALE TV STARS (IN ALPHABETICAL ORDER) ACTORS  Bobby Au Yeung ( 歐陽震華 )  Bosco Wong ( 黃宗澤 )  Bowie Lam( 林保怡 )  Kevin Cheng ( 鄭嘉穎 )  Raymond Lam ( 林峯 )  Moses Chan ( 陳豪 ) Respondents:All exhibitors and visitors338

34. Hong Kong FILMART & HAF 2008 34 MOST POPULAR HONG KONG FEMALE TV STARS (IN ALPHABETICAL ORDER) EQ/DQ B15 ACTRESSES  Ada Choi ( 蔡少芬 )  Angela Tong ( 湯盈盈 )  Bernice Liu ( 廖碧兒 )  Charmaine Sheh( 佘詩曼 )  Gigi Lai ( 黎姿 )  Myolie Wu ( 胡杏兒 ) Respondents:All exhibitors and visitors338

35. Hong Kong FILMART & HAF 2008 35