An in-depth Study on the Animation Industry - Philippine Institute for ...

ANIMATION INDUSTRY EXECUTIVE SUMMARY
<strong>An</strong>imation is the process of giv<strong>in</strong>g the illusion of movement or life to
c<strong>in</strong>ematographic draw<strong>in</strong>g, models, or <strong>in</strong>animate objects. Of all the uses that computers
can be put to, probably the most <strong>in</strong>terest<strong>in</strong>g, excit<strong>in</strong>g and challeng<strong>in</strong>g to graphic artists
is <strong>in</strong> the field of animation. They are more <strong>in</strong>terested <strong>in</strong> visual effects because it is one
way of treat<strong>in</strong>g projects with dist<strong>in</strong>ctiveness and <strong>in</strong>novativeness.
The paper aims to determ<strong>in</strong>e the scope of the animation <strong>in</strong>dustry, describe its
structure, determ<strong>in</strong>e the exist<strong>in</strong>g and potential markets both locally and abroad,
determ<strong>in</strong>e the supply capability, describe the quality and quantity of tra<strong>in</strong><strong>in</strong>g, and f<strong>in</strong>ally
present an action plan to enhance its growth and competitiveness.
The comb<strong>in</strong>ation of film and animation <strong>in</strong>dustry shows that its gross value added
is grow<strong>in</strong>g faster than the gross domestic product and gross national product. In other
words, the <strong>in</strong>dustry has a lot of potential to improve further through the years. Extent of
growth of firms is primarily Metro-Manila based with Southern Tagalog as a far second.
There is more <strong>in</strong>vestment <strong>in</strong> labor or manpower than capital expenditures based on the
1994 Census of Establishments.
Philipp<strong>in</strong>e animation owes its beg<strong>in</strong>n<strong>in</strong>gs to the cartoonists. Cartoons are
generally popular <strong>in</strong> the form of komiks which is the local version of comic book
magaz<strong>in</strong>es. Today, Filip<strong>in</strong>o animators are now f<strong>in</strong>d<strong>in</strong>g opportunities abroad on big
animated projects. In fact, the Philipp<strong>in</strong>es reportedly accounts for a 30% share of
animation work <strong>in</strong> the Asia Pacific; and it is projected that this could grow to 70% or
more with professional tra<strong>in</strong><strong>in</strong>g.
<strong>An</strong> exam<strong>in</strong>ation of the motion picture production forward l<strong>in</strong>kage shows that the
market for film and animation is motion picture distribution and projection. On the other
hand, the motion picture distribution and projection forward l<strong>in</strong>kage <strong>in</strong>dicates that one
major market to consider is radio and television programm<strong>in</strong>g or the development of
more animation films for television broadcast<strong>in</strong>g. The market for animation can come
from <strong>in</strong>dustries like agriculture; community, social and personal services; f<strong>in</strong>anc<strong>in</strong>g, real
estate, <strong>in</strong>surance and bus<strong>in</strong>ess services; transportation and communication; wholesale
and retail; media, advertis<strong>in</strong>g and enterta<strong>in</strong>ment; and f<strong>in</strong>ally education.
Globally, the local animation <strong>in</strong>dustry should now look at the creation of four
animation firms around the world situated <strong>in</strong> Hong Kong, India, France and Japan.
S<strong>in</strong>ce the growth <strong>in</strong> <strong>in</strong>formation technology can <strong>in</strong>fluence the growth of animation, it was
recommended that the local <strong>in</strong>dustry should now look at India as a healthy competitor
and move towards “coopetition” like jo<strong>in</strong>t ventures to cover big markets like US and UK.
On supply capability, the motion picture distribution and projection backward
l<strong>in</strong>kage shows that a major supplier is motion picture production. On the other hand, the
motion picture production backward l<strong>in</strong>kage presents restaurants, cafes, and other
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