Production company

A production company or a production house provides the physical basis for works in the realms of the performing arts, new media art, film, television, radio, and video.

The production company may be directly responsible for fundraising for the production or may accomplish this through a parent company, partner, or private investor. It handles budgeting, scheduling, scripting, the supply with talent and resources, the organization of staff, the production itself, post-production, distribution, and marketing.

Production companies are often either owned or under contract with a media conglomerate, film studio, entertainment company, or Motion Picture Company, who act as the production company's partner or parent company. This has become known as the "studio system". They can also be mainstream, independent (see Lucasfilm), or completely independent (see Lionsgate). In the case of television, a production company would serve under a television network. Production companies can work together in co-productions.

Entertainment companies operate as mini conglomerates, operating many divisions or subsidiaries in many different industries. Warner Bros. Entertainment and Lionsgate Entertainment are two companies with this corporate structure. It allows for a single company to maintain control over seemingly unrelated companies that fall within the ranges of entertainment, which increases and centralises the revenue into one company (example: a film production company, TV production company, video game company, and comic book company are all owned by a single entertainment company). A motion picture company, such as Paramount Pictures, specializing "only" in motion pictures is only connected with its other counterpart industries through its parent company. Instead of performing a corporate reorganization, many motion picture companies often have sister companies they collaborate with in other industries that are subsidiaries owned by their parent company and is often not involved in the making of products that are not motion picture related. A production company can either operate as an affiliate (under a contract) or as a subsidiary for an entertainment company, motion picture company, television network, or all, and are generally smaller than the company they are partnered with.

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