This model of risk reduction is called Aggregator to Aggregator (A 2 A ) Model.This model is a game changer for all big production houses. Corporates now manage a portfolio of movies. There is a replacement of the economy of one movie by the economy of a portfolio of movies. There is emergence of diversified revenue streams, thus to that extent the dependence of box-office is lesser. Big corporates acquire, produce and co-produce a portfolio of movies. They feed the content to other fast growing aggregators such as C & S, music, home video and new media. They own IPRs of old movies, and market the new movies synergistically. They produce a catalogue of movies, and try to monetise them across the revenue streams. They pre-sell the licensing rights and recover 40 to 60 per cent of movie’s cost.The percentage varies from product to product. There are foreign studios who market the movies abroad, and make the revenue tail longer. A corporate makes money on a portfolio. There are decisions regarding own production, outsourcing. and co-production. There should be a proper mix of big budget, medium budget and low budget movies. The return and risk quotient for each budget category is different. Big star movies recover 70 to 80 per cent cost through licensing only. They are to that extent the safest bet. In portfolio approach, there is better cash flow management. In this business, no scripts are wrong. It is the budget that goes wrong. They do better cost management and avoid revenue leakages. Script is examined minutely, and it is audited by script doctors. Research is valued more. In spite of all this, if the portfolio makes losses, these losses can be amortised over a period of time. It makes the balance sheet look good.