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Why did One from the Heart cause financial problems for Francis Ford Coppola?

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The financial difficulties surrounding One from the Heart (1982) stemmed from its high production costs and poor commercial performance. The film, which was the first project produced by Francis Ford Coppola’s Zoetrope Studios, cost approximately $27 million to create.1

When the film subsequently crashed at the box office, the significant loss forced Coppola to sell many of his personal assets and ultimately close his Los Angeles-based studio. This failure effectively ended his attempt to establish a creator-friendly, antiestablishment studio designed to compete with major Hollywood entities using advanced technology and distribution methods.1