Bruce Lee was a unique star who brought martial arts movies into the mainstream, but the trend never fully took off after his death. Despite his impact on action cinema, Hollywood did not embrace martial arts movies as a genre. Lee left the US because he was not given the opportunity to star in his own movies, only returning after proving his talent in Hong Kong action films. His early passing gave Hollywood executives another reason to avoid risky investments in martial arts movies.
Although Hong Kong cinema continued to produce talented actors, they often struggled to find success in Hollywood.
Lee's movies were structured similarly to James Bond films, but when the 1980s brought a boom in sci-fi action movies, there was no blueprint for combining martial arts with this genre. Action movies began to favor VFX over practical effects, and the rise of police thrillers and buddy cop comedies further edged out martial arts films.
Additionally, martial arts movies became more difficult to make due to the risks associated with actors performing their own stunts.
Overall, while Bruce Lee's influence on action cinema can still be felt today, the genre never fully took off after his death due to a combination of factors including Hollywood's lack of interest, attempts at Americanization, changing tastes, and the logistical challenges of making martial arts films.