The entertainment industry is experiencing a profound transformation, many industry workers have been sharing about a slowdown in Los Angeles. Our office reached out to Victor Migalchan, a seasoned expert in the field, who has been closely analyzing the current slowdown in Hollywood as well as the economic situation in the State of California and around the US. With the recent strikes shaking the industry and the shocking announcement that Paramount Television Studios will shut down, Migalchan shared with us his insights into what these developments mean for Hollywood and the path forward for actors.
Paramount’s decision to close its television studio is a clear reflection of the challenges Hollywood is facing today. According to Migalchan, this move is not just a cost-cutting measure but a response to the rapidly changing landscape of the entertainment industry. The rise of streaming platforms, shifting viewer habits, and the ongoing strikes have all contributed to an environment where traditional studios are struggling to maintain their relevance and financial stability. On the other hand it is the management which wasn’t capable of using the brand name of Paramount to make money. “It does look like a little club, where the faces of executives change, but nothing improves. We saw the same with the Silicon Valley bank story. We, if interested, should start analyzing from the top, not bottom”, said Victor.
The shutdown of Paramount Television Studios, Migalchan notes, is a direct result of these events and mismanagement. As Paramount Global embarks on a broader restructuring effort, aiming to save $500 million, the closure of the studio is part of a strategy to streamline operations. All ongoing projects at Paramount Television Studios will be transferred to CBS Studios, which will absorb the studio’s operations. This consolidation, while shocking to many, is a necessary step in adapting to the new realities of the industry.
Migalchan emphasizes that this transformation in Hollywood signals a need for actors and other industry professionals to rethink their approach to their careers. The traditional model of the 80s, 90s and 2000s of relying solely on acting coaches, teachers, agents, managers and following outdated advice is no longer sufficient in today’s competitive environment. Instead, Migalchan advocates for a focus on personal branding and the development of business skills that can help actors navigate the complexities of modern Hollywood.
“Investing in your brand name, financial and business education, not just your acting abilities, is the key to long-term success in today’s entertainment industry,” Migalchan advises. He believes that actors must now see themselves as entrepreneurs, with their brand as their most valuable asset. Building a strong personal brand allows actors to stand out in a crowded market, attract opportunities, bring value to the customers and maintain their relevance in an industry that is constantly evolving.
The closure of Paramount Television Studios is, in Migalchan’s view, a wake-up call for the entire industry. It highlights the urgent need for Hollywood to adapt to new realities, where content creation and distribution are no longer confined to traditional studio systems. Actors, in particular, must embrace this change by investing in their personal brands, developing marketing strategies, and leveraging digital platforms to build a direct connection with audiences and if they can’t – consult with business professionals (out of LA) and build propper teams.
As Hollywood continues to undergo this transformation, Migalchan’s insights underscore the importance of being proactive and strategic. The industry is changing rapidly, and those who do not adapt will struggle to keep up. By investing in their personal brands and acquiring the necessary business skills, actors can position themselves to succeed in the evolving landscape of entertainment. Migalchan’s advice is clear: in today’s Hollywood, “Invest in your name, not your acting coaches, build your market value.”
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Published by: Nelly Chavez
