Cultural venture with potential

A joint venture announced by a leading Chinese entertainment company and Hollywood's most iconic studio on Sunday, just two days before the state visit of President Xi Jinping to the United States, can be viewed as a symbolic move highlighting the progress of cultural exchanges and cooperation between the two countries.

But by limiting the significance of the move to the progress made until now, we would be underestimating what China Media Capital and Warner Bros. Entertainment really want to do with their joint venture, Flagship Entertainment Group Limited.

Headquartered in Hong Kong, with offices in Beijing and Los Angeles, the new entity will combine the expertise of Hollywood's largest studio with China's preeminent investment and operation platform to tap into both the rapidly growing Chinese market for premium content and the increasing demand for high-quality Chinese language movies around the globe.