This is the same as the Australian political system. We rank our choices, and like Clovis says, after the first round of counting, the person with the lowest votes is eliminated, and anyone who chose them has their second vote counted. We keep going like that until someone gets 50% +1 of the vote.
That said, our political system is quite different to the US, and quite different to voting for a film in the Oscars. I think it has to be used with this number of films being nominated tho, right? Otherwise a film with 11% of the vote could win the award, which would hardly be suitable.