I think you'll love Trottier's Screenwriting Bible (mentioned in a previous post). I'm going through it now, having already had a few projects go into production, and it's giving me a lot of insight.
I think the key to answering your question is to look at the character's objectives. Many movies end with a protagonist "failing" in his primary objective but are still satisfying because he succeeds in a deeper, unspoken objective. It's about personal revelation.
If you have a protag who reveals himself to be a dick, then I think having him fail at his primary objective is fine as long as he realizes what a dick he's been and begins to make amends. For me, the sugary ending is when he has his revelation and wins his prize anyway. A satisfying ending is when he loses his prize but has the revelation. The cynical ending is when he gets neither and is a broke dick at the end. That's also called an indie and will kick-ass at Sundance, win some awards, but not make any money. So I guess it all depends on what you're going for.
+1
EDIT: Watch BLOOD DIAMOND. The protagonist in that story is a greedy dick, but in the end he makes a sacrifice to save Solomon and his boy.
for a starting point, it'll be much easier for you in the long run, if you think in terms of "protagonist/antagonist" rather than "hero/villian". as you've probably already noticed in films, the main character is not always heroic and the main opposing force isn't always evil. the important thing (as others noted) is to make them relatable for the audience.
This advice is good.
And there is a difference between "relate" and "like." The audience doesn't have to like your characters, but they need to be able to relate and want to follow them.
I don't particularly like Rick in Casablanca or Gittes in Chinatown, but I can relate to being a pr*ck and following some pr*ck go about his business on screen.
You can also be a pr*ck and do a few nice things, which makes you "complex."
You can have a cast with some pr*cks and some nice guys (Trainspotting - - Begby is very watchable).
I'd focus on keeping the story moving. And just give valid, believable reasons for the moving.
You won't find two better models that answer most of your present questions than these:
"The Unforgiven" (Clint Eastwood's multi-awarded western)
and
"The Departed" (Boston mob story)
Both wonderfully broke a few conventional genre rules and are quite provocative with regard to treatment of, and questions about good guy/bad guy and protagonist/antagonist.
Try to obtain and view both (or view them again studiously) and/or obtain the scripts for further scrutiny. You'll learn a lot by doing so. Guaranteed.
Ernie
Good examples, but I don't think they broke any genre conventions.
CRASH - Matt Dillon's a pr*ck.
CHICAGO - Renee Zellwegger is selfish b*tch.
HURT LOCKER - Will is a selfish c*nt.
The list goes on.
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