The liberalization of Indian Economy and the Government's accordance of Industry status to the Indian film industry in 1998 has had a major impact on all aspects of Indian cinema; ranging from changes in movie budgets, financing, industry structure and marketing strategies to changes in the films themselves. On the opposite end of market spectrum, liberalization and ensuing globalization have also influenced audience tastes and expectations. This thesis delves into the transitions in the Indian Hindi film industry and its product, with specific focus on the time period 2006-2009 when these changes have picked up an accelerated pace, in order to prove the contention that the changes represent an effort on part of the Indian film industry to create a product that fits the paradigm of global consumerism. With the success of Slumdog Millionaire, when the world is looking at India for a slice of its thriving film industry's cost-effective "exoticism", the thrust of this thesis is to analyze the nature these global economic and cultural flows and demonstrate the possible implications of these changes for Indian identity, Indian cinema as well as the world film industry.