No, Michael Allbritton's (MA) method just copies the files you have selected to consolidate to the location you have temporarily designated in preferences. MA didn't mean "library" as being the library file (library.itl) but the "collection". Your files would still all be managed from the same iTunes library file on your internal drive but the movie files you selected to consolidate would now be referenced to their new location on the external drive.
Note the difference between these two methods:
iTunes: How to move [or copy] your music to a new computer [or another drive] - http://support.apple.com/kb/HT4527
do not confuse moving your whole folder and library with moving just media files as in
iTunes for Mac: Moving your iTunes Media folder - http://support.apple.com/kb/HT1449
Moving your movies will only apply to your current collection. If you add movies in the future you will need to make sure they are on the external drive, then hold down the option key while dragging the file to iTunes to tell iTunes to not copy it to your internal drive (which has been re-set as the location for your media folder after the move directions).