Director Alan Parker wanted a scene that showed Doris overcoming her fear and becoming an actress. He heard of the audience participation at the local screenings of The Rocky Horror Picture Show (1975) and went to check it out. He loved it so much that he not only decided to use it in the film, he had many of the "cast" from the local screenings appear in the film, as the people doing the time-warp on stage when Doris runs up and joins them.
Debbie Allen commented in interviews that the role of Lydia was originally bigger in the movie, written as a star dance student always competing for roles with Coco. The role was cut down drastically to prevent Allen from outshining Irene Cara and the other young cast members. Lydia became the star of Fame (1982). Allen was also thirty years old at the time, somewhat past the age to play a 17/18 year old high school student convincingly.
Alan Parker commented that the film's title is essentially ironic, as the story is really about failure, both personal and professional, the chasing of dreams and the cruel realities of show business.
In the scene where the kids dance to the title song on the street, the song hadn't been written yet. The song used on set was Hot Stuff by Donna Summer. This song was chosen because the beats were similar to the proposed song.
The school is based on the real-life Fiorello H Laguardia High School of Music and Art and Performing Arts in Manhattan. It is a public school, and therefore available to any New York City high school student who successfully auditions.
Sal Piro: the president of The Rocky Horror Picture Show (1975) Fan Club is the host during the Rocky Horror screening the kids attend.