Right. So figure you're a Hollywood executive. You know that something like more than half of the profits will come from Asia, South/Central America, and Western Europe. You have two scripts in front of you:
Script A: An action adventure movie with a Brad Pitt type character and no less than a half dozen exotic cars blowing up on a beach in South California filled with bikini clad babes with Matrix-like special effects.
Script B: A "side-splitting" gentle comedy that takes place in an Amish community.
Both movies cost $100 million to make and if you choose wrong, then you get to be fired and known as the guy who made the "Amish comedy."
There's the falicy. Most such little movies are actually very inexpensive to make. You can have several failures and limited markets, and still make money.