Blair Witch:
Budget - $60,000
Gross Income - $248,639,099 (Worldwide)
Ratio - 414398% <- This is why.
Avatar
Budget - $237,000,000
Gross Income - $2,039,472,387 (Worldwide)
Ratio - 860%
That's the nail right there. Making
The Blair Witch Project is how you get into the business,
Avatar is how you stay in the business.
Also, bear in mind the massively increased capital cost in making a regular-market game these days even compared to ten years ago. You need either a AAA programming team to make an engine, or pay for an engine made by such a team, plus an army of graphics people, playtesters, voice and sound, and network-support staff and servers for online play (because you can't hardly make a game without an online element), just to make a game that looks good enough to
compete in the mainstream market, let alone win any real notice. So, companies like Ubisoft have decided if they're in for a penny, they're in for a pound. As long as you need a small nation of developers to make a game that can earn large early sales, you might as well concentrate all your developing capacity on those.
But how much would they have had to sacrifice to make 2 billion instead of 200 million? Directorial control. Advertising control. Casting control. Not having a producer butting in every 5 minutes talking about what plays to the audience.
One person doesn't need 2 billion to be happy. A board of stock holders does. That's the disconnect for me. The needs and wishes of people who could care less about the impact of their decisions dictates a lot shit on my end, from what I'm ultimately offered to how much I gotta pay. If I at least felt Ubi and some of the other publishers actually had my interests as a consumer at heart, I'd care a lot less. But they really don't. They just trying to find the right primal button to push so I throw money at them, and if they can make a red, a blue and a green button that all do the same thing that I'll purchase eagerly, well....go buy the paint cause we got some buttons to paint.
Boo fucking hoo, people are in business to make money, and those evil shareholders don't share or care about your specific tastes. And regarding
Avatar, in that particular case, that was one guy's vision and control over a whole project. Look where that got'em.