CGI done well is a good thing. CGI done bad is awful. It's really an awful feeling to be watching someoen and be distracted by the fact its fake, instead of knowings its fake but being able to legitimately place it among real parts. LOTR has some brilliant special effects. Thats how it should be.
Same with puppets. You can have extremely cheesy puppets used that make you want to cry, or you can have good ol' realism. The first 3 Alien films are perfect examples of well done costumes/puppets/whatever. Mainly because of the glossy coat on the outside of the creatures, which brings out the collor, and the gellaton or whatever used for the slime. There was a difference in slime material used between 1/2 & 3, but I don't remember the specifics.
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