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1. Cost per 1 hour of raw film shot?

2. Starting a film production company?

3. Sending my script to a production company?

4. Location Fees?

5. Obtaining film rights to a book?

6. Why are there so many production credits at the beginning of a film?

7. Where can I send screenplays?

8. Just out of school, what job should I try and take up?

9. What is the options process?

10. Independent movies over Hollywood movies?

11. What digital equipments should I use?

12. Will film be phased out?

13. What is the best handheld digital camera out there?

 Yahoo! Answers: What is a production company?

In every movie, at the beginning I see 4 or 5 productions, ABC films, XYZ films, etc. Why are there so many?
I thought movies are produced by a producer or a team of producers, but why are there so many productions companies, films listed at the beginning of the movie. Can someone explain a little bit more. Thanks.
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So those are not production companies, but rather distribution companies. Do they deserve their names along with the actual producers, I'm just curious.

Companies like Universal or Walt Disney are so huge that they can take care of all the costs themselves and get the returns on investment as well. Then why are their movies also have so many "XYZ films" "ABC films" attached to.

Well, Let's see If I can explain it a bit... So you see this on the screen...
(not an actual intro)

Paramount Pictures
is association with
Castle Rock Entertainment
Joe Blow Enterprises

In this case, Paramount is the primary production company. Castle Rock and Joe Blow are secondary production companies.

Paramount would handle the majority of the film. Filming, mixing, sound recording, etc The secondaries would handle a smaller part such as licensing, distribution, promotion, etc.

Sure Paramount could foot the bill for the whole thing but by breaking it up a bit they can get more accomplished at the same time instead of tying up thier own staff to do it. And in some cases it may be more cost efficient for the primary production company to do so.

In this way you get more done while using less people to do it. And if they have a hit film they all share in the profits and of course if it's a flop they all take the loss. And if it's a loss each company only loses a percentage instead of one taking the total hit on the investment.


Why so many production company credits?
What is a production company?

Source: Yahoo! Answers