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World cinema is not the sum-total of all films made around the world. Its use is analogous to the use of the term "world literature". Goethe used the concept of Weltliteratur (world literature) in several of his essays in the early decades of the nineteenth century to describe the international circulation and reception of literary works in Europe, including works of non-Western origin. An interest in "world cinema" suggests an awareness of high-quality films made outside the Hollywood studio system which dominates international viewership. However, some people use the term to refer to the film and film industries of non-English-speaking countries in English-speaking countries. Equating the dominant form of cinema with the dominant language (English) can be inherently problematic. There are many countries such as Canada, England, South Africa and even Asian countries like India, where films are made in English but they are part of "world cinema" due to their marginal status in terms of access or viewership. It can be argued that an understanding of "world cinema" centering around Hollywood cinema suggests a Eurocentric view. "World cinema" is often used interchangeably with the term foreign film. "Foreign" is also a relative term, suggesting a Western viewpoint. One person's national cinema can be another person's foreign film. In fact, American independent cinema may be considered part of "world cinema" as it does not have adequate access.
Technically, foreign film does not mean the same as foreign language film, but the inference is that a foreign film is not only foreign in terms of the country of production, but also in terms of the language used. As such, the use of the term foreign film for films produced in the United States, United Kingdom, Australia, Canada or other English-speaking countries would be uncommon within other English-speaking countries.
World cinema has an unofficial implication of films with "artistic value" as opposed to "Hollywood commercialism." Foreign language films are often grouped with "art house films" and other independent films in DVD stores, cinema listings etc. Unless dubbed into one's native language, foreign language films played in English-speaking regions usually have English subtitles. Few films of this kind receive more than a limited release and many are never played in major cinemas. As such the marketing, popularity and gross takings for these films are usually markedly less than for typical Hollywood blockbusters. The combination of subtitles and minimal exposure adds to the notion that "World Cinema" has an inferred artistic prestige or intelligence, which may discourage less sophisticated viewers. Additionally, differences in cultural style and tone between foreign and domestic films affects attendance at cinemas and DVD sales.
Foreign language films can be commercial, low brow or B-movies. Furthermore, foreign language films can cross cultural boundaries, particularly when the visual spectacle and style is sufficient to overcome people's misgivings. Films of this type became more common in the early 2000s, as Crouching Tiger, Hidden Dragon, Amélie, Brotherhood of the Wolf, Y Tu Mama Tambien and Talk to Her enjoyed great successes in United States cinemas and home video sales. The first foreign and foreign language film to top the North American box office was Hero in August 2004. "The rule for foreign-language films is that if you've done $5 million or better (in United States cinemas), you've had a very nice success; if you do $10 (million) or better (in United States cinemas), you're in blockbuster category," Warner Independent Pictures ex-president Mark Gill said.
On the other hand, English-dubbed foreign films rarely did well in United States box office (except Anime films). The 1982 United States theatrical release of Wolfgang Peterson's Das Boot was the last major release to go out in both original and English-dubbed versions, and the film's original version actually grossed much higher than the English-dubbed version. Later on, English-dubbed versions of international hits like Un indien dans la ville, Godzilla 2000, Anatomy, Pinocchio and High Tension flopped at United States box office. When Miramax planned to release the English-dubbed versions of Shaolin Soccer and Hero in the United States cinemas, their English-dubbed versions scored badly in test screenings in the United States, so Miramax finally released the films in United States cinemas with their original language.
Foreign language films that are particularly successful in international markets may be taken on by the large film distribution companies for DVD releases. At the other end of the scale, many foreign language films are never given a DVD release outside of their home markets. The majority of those DVDs that are given an international release, come out on specialist labels. These labels include: