As far as the political and legal aspects are worried, the whole movie industry is impacted by the danger of piracy which could potentially cause a negative influence on the total income of the film industry. Having said that, copyright laws provide defense to the movie industry in terms of dissuading piracy.
While the political and legal environment uses defense to film makers, globalization and advancement of technological aspects have actually increased legal challenges such as ease of piracy and breaching intellectual property rights.
It must be noted that films are part of the show business while expenditure on any form of home entertainment is generally an optional expense which is more or a luxury rather than a necessity. We look at the contrast of the GDP pattern with the pattern in need for movies, we can see that the 2 are not directly proportional suggesting that any change in GDP growth does not always bring about a change in this specific home entertainment.
As far as the social-cultural aspects are concerned, it should be kept in mind that the 70% of IMAX viewers are in between the ages of 19 and 56 which permits a great deal of diversity when it concerns opting for a specific segment. Furthermore with majority of the audiences being college or university students with an average family income of $70,000, the acquiring power of the target audience shows possibilities of increasing viewership.
With aspects such as 'parents showing an interest in their children's choice of home entertainment' and 'higher purchasing power in homes' due to both moms and dads contributing towards the household earnings, we can see that the home entertainment service has a lot of capacity for industry gamers.
While technological elements have contributed towards reducing the cost of entertainment with the introduction of multimedia, reality based entertainment, home theatres, cable television networks, the pressure on theatres has increased in term of making the theatre experience richer for consumers in order to make it more attractive than seeing movies in your home. In addition, while developments have actually contributed towards the danger of 'piracy' they have actually also contributed towards ease of storing and distributing movies.