As far as the legal and political elements are worried, the entire film industry is impacted by the hazard of piracy which could possibly cause an unfavorable impact on the overall earnings of the film industry. Having stated that, copyright laws use defense to the movie industry in terms of dissuading piracy.
While the political and legal environment offers security to film makers, globalization and advancement of technological elements have increased legal difficulties such as ease of piracy and violating copyright rights.
It should be kept in mind that motion pictures belong to the entertainment industry while expense on any kind of home entertainment is generally an optional cost which is more or a high-end rather than a need. However, we take a look at the contrast of the GDP trend with the pattern in demand for motion pictures, we can see that the two are not straight proportional suggesting that any modification in GDP growth does not always produce a modification in this specific entertainment.
As far as the social-cultural factors are concerned, it ought to be kept in mind that the 70% of IMAX viewers are between the ages of 19 and 56 which allows a lot of variety when it pertains to selecting a specific segment. In addition with majority of the viewers being college or university students with a typical home earnings of $70,000, the buying power of the target audience reveals possibilities of increasing viewership.
With elements such as 'parents showing an interest in their kids's option of home entertainment' and 'higher purchasing power in homes' due to both parents contributing towards the household earnings, we can see that the entertainment organisation has a lot of potential for industry players.
While technological elements have actually contributed towards lowering the expense of entertainment with the introduction of multimedia, reality based entertainment, home theatres, cable television networks, the pressure on theatres has actually increased in regard to making the theatre experience richer for customers in order to make it more appealing than watching motion pictures at home. Furthermore, while innovations have contributed towards the threat of 'piracy' they have likewise contributed towards ease of saving and dispersing films.