[ELI5] How do film studios stay in business with so many bombs?

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I saw an article that the movie “I.S.S.” made 1.2 million this opening weekend. I’m no movie expert but I’m guessing it cost a lot more than that to make.

Not trying to make an argument about whether they’re good or not, but it seems that the last 4 or 5 WB/DC Super Hero movies bombed hard, too. How does WB continue to make movies if each one makes less than it cost??

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Anonymous 0 Comments

Good risk management. Studios know some percentage of their movies will be bomb, but hopefully it’s less than the percentage that breakeven and the percentage that make money. So they allocate resources accordingly, hopefully figuring out early enough in production which are the bombs and which have promise and need more resource allocation (e.g. marketing push).

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