It *is* kinda like title of show, but title of show was a lot like CITY OF ANGELS, which was a lot like... well, you get the idea.
My only suggestion: dont revolve it around Screnzy. Trust me: Broadway is screwy enough that if you made this a show-in-the-birthing-pangs situation, you'd find a wider audience. The thing I'd work to avoid is comparisons to SPRINGTIME FOR HITLER, which is the show-within-a-show that was part of THE PRODUCERS and that film's search for a show so bad "it'll close on page three". In your case, it sounds like the authoress is writing something bad but thinks it's great: okay, so why are the producers picking it up and rushing it into production? One possibility is that it's a star vehicle of some kind, and the lead is pushing ideas that everyone but her/him know will *never* work... but everyone goes along with it because s/he's the "star", and the star LOVES what your authoress is creating.
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