Why don’t Americans like foreign movies?

Tyler Cowen…argues that movies are about
familiarity. "A feeling of comfort has to be there" for a movie to
succeed, he says. That is the reason that "Americans don’t like foreign
movies," Mr. Cowen says. A Bollywood movie with Indian cultural themes
and actors sells tickets with the Subcontinent’s three-million strong
diaspora in the U.S., but not with the average American.

And will India embrace Hollywood?

…some predict that as India liberalizes, the movie landscape may
alter. "If India becomes like Bangalore then more Indians will start
watching Hollywood," Mr. Cowen explains, referring to the whiz-bang
technology capital of India, populated by upper- and middle-class
youth. As more Indians get wealthier, their tastes will reflect that
currently exhibited only by the upper classes.

Here is the whole article, most of which is about Bollywood.  Here is earlier coverage on the same theme.