In April 2006 IP Dragon blogged about Warner Brothers dropping its price substantially as a new business strategy in China, read more here. Now it is experimenting in South Korea with releasing movies online first and then launching the sale of DVDs. China could be next.
Mr Jacqui Cheng of Ars Technica wrote an article based on an article by Matthew Garrahan for the Financial Times:
"[..] China could be ripe for online distribution as more of the country gets access to broadband. Warner Bros. has already changed its distribution strategy in China by offering legit DVDs at prices comparable to what pirates charge for illicit discs. In fact, this is a tactic that Warner China (a joint venture between Warner Bros., China Film Group, and Hengdian Group), Paramount and Fox are trying as well."
Read Mr Cheng's article here.