A Multidisciplinary Perspective to Study the Film Trade Under a Digitally Transformed Industry: Bilateral Film Trade World (2000–2021)

Films are key instruments of soft power, culturally influencing globally without coercion, as exemplified by Hollywood’s post-war dominance. However, digitalization has disrupted this dynamic. Traditional data sources no longer accurately reflect the current state of international film trade, which now primarily occurs online. Another challenge is the rise of video streaming, reshaping consumption patterns and undermining the role of theatrical releases. To address these shifts and analyze the evolution of film trade under digital disruption and global competition, we have built a novel dataset on international film trade by compiling cross-border theatrical data from Box Office Mojo and IMDb, covering the period from 2000 to 2021. Applying Social Network Analysis and Gravity models to examine bilateral film trade flows, we investigate their evolution and highlight the transformative impact of streaming and the COVID-19 pandemic. The SNA reveals a highly connected and regionally clustered trade network, with an increasing number of countries integrating into global markets until the pandemic shock. Yet after 2014, we observe a persistent decline in the theatrical consumption of imported films, coinciding with the global expansion of Netflix and other streaming services. Gravity estimates confirm the model’s structural predictions and show diminishing geographic and religious barriers, alongside a rising importance of language proximity as more countries with varied languages begin producing and exporting films. These patterns suggest greater global diversification of film influence. At the same time, the rising relative cost of international versus domestic trade indicates the emergence of government regulations.