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F/X Houses Case

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Due to F/X companies industry growing studios are producing lesser movies. “The result is an Economics 101 lesson in the unforgiving laws of supply and demand, with F/X houses forced to lower their bids to unsustainable levels simply to stay in the game”(Rottenberg). Since they are so many F/X houses competition has increased, causing them to lower their prices to compete leading to smaller profit because it’s not enough work for all of them. The problem is really due to directors asking too much from F/X houses to make different visual effects shots, but ultimately only picking one and paying them just for that one shot and not the others, leaving them in a bind with money, especially if a company cancels entirely (Rottenberg). Some directors

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