Realism and formalism are two opposing methods of cinematic structures, where realism is based on a perception of reality whereas formalism is designe
d for the sole purpose of entertainment and is so manipulated by the director even at the expense of realism. Early cinematography was largely realist, as the sheer marvel of the "moving picture" was deemed entertaining enough without the complications of a plot, and filming was also being seen in its experimental stages. However, as cinematography progressed entrepreneurs in the United States saw the role of the film as an entertainment, and they realised the potential wealth that could be created in cinema. This gave rise to formalism, which seemed ideal for the commercial culture of theunited states.
In Eastern Europe the rise of the Soviet Union meant a revolution in arts and culture, and the government which had become enwreathed in suspicion was keen to present a positive image of itself to be built upon. It recognised the potential of the cinema to serve this purpose and this gave birth to the hybrid genre of propaganda. Early examples of propaganda were Potemkin in the 1920s which was based on real life but twisted and biased to create a positive image for the Soviet Union.
Elsewhere, the United States realised the value of formalism in its opulent and melodramatic dramas and slapstick comedies which begun to dominate US cinemas. Formalist films often portrayed idealist concepts in American society, were primarily "plot orientated", and simplified in their perception of reality.
Whilst formalism is perhaps the most conventional and common filming structure exercised in modern cinema , largely due to the dominance of hollywood over modern western cinema, realism is still a prevalent concept used frequently in experimental art house productions but also in blockbuster movies within and without of hollywood. Recently, there has been a revival of realism, but the more conventional approach has been to integrate the two conflicting ideas within a single production.
Modern hollywood productions generally conform to a Formalist structure designed to promote American ideals and traditional values.