In recent years, the film industry in the People's Republic of China has found itself among the top three most prolific in the world. When the Chinese government introduced a new revenue-sharing system in 1994, the nation's total movie output skyrocketed with gross box-office receipts totaling billions of yuan. This newfound success, however, has been built on an alternately competitive and collaborative relationship between the ascendant global power of China and the popular culture juggernaut of America.

In China's Encounter with Global Hollywood, Wendy Su examines the...