How subsidies promote a uniform film supply

Besides a pure location policy, film subsidies are often justified with a contribution to artistic film quality and the diversity of the film supply. Selection committees deciding on film grants consist, to a large extent, of industry veterans who tend to prefer projects that seem familiar to them. In this study, we have drawn on the concepts of homophily and network theory to systematically study the impact of film subsidies in two empirical studies conducted in Germany. First, we had conducted interviews with film producers about their experiences while applying for a film grant and how this has changed over time. The results suggest an inter-organizational isomorphism resulting from a reproduction of norms and judgements. One mechanism at work here might be newcomers’ adjustments and the self-affirmation of veteran producers. Second, we had conducted a network analysis to assess how being connected to others, particularly members of a funding committee, affects a grant sum for a film. The more a film crew is connected to other industry professionals, the higher the amount of funding received; the presence of a former, current or future committee member on a film crew also enhances the sum. We conclude that the way German film funding is designed does not promote innovation or diversity as policy goals but serves as a means of self-reproduction of industry standards.