The cost of making movies is astronomical! Not only that but the profits are barely possible because of piracy. There are so many movies that suffer losses than those that earned profits. The industry itself has structural problems like distribution. There are so many untold amounts of money that are spent on advertisements and marketing. So there are losses. If you want to make movies, you might as well make Indie movies. For example, Little Miss Sunshine, an Indie movie, made millions in profits! Indie movies are riskier than conventional movies.
Costs of making films:
There is a lot of money being injected into a film. So much that it will blow your mind. The reason for that is because there are so many people from different backgrounds that work on the same film. There are writers, producers, actors, make-up artists, people in sound, special effects, and more. The movie budget could balloon to millions possibly billions. The costs alone do not necessarily hurt profits
If you can stream a movie for free online, you’ll probably do it because it’s free. If you’re a producer this is a nightmare for you. Video piracy is perhaps the number 1 reason why movies are losing money. The cost of making a movie is not that big of an issue as long as it sells and I mean sells! However, given the fact that piracy exists, there will be losses. Movies lose billions of dollars to Piracy
The moral of the story is to be absolutely careful about making a film because of the enormous risk it entails. That is why being an employee for making a movie (i.e actor, cameraman, etc.) is more preferred