As far as the legal and political aspects are worried, the entire film industry is affected by the danger of piracy which could potentially cause a negative effect on the total earnings of the film industry. Having stated that, copyright laws use security to the film market in terms of preventing piracy.
While the legal and political environment uses security 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 needs to be noted that films are part of the show business while expenditure on any form of entertainment is essentially an optional cost which is more or a high-end instead of a requirement. However, we take a look at the contrast of the GDP trend with the trend in demand for movies, we can see that the two are not directly proportional recommending that any change in GDP growth does not necessarily cause a change in this particular entertainment.
As far as the social-cultural aspects are worried, it should be kept in mind that the 70% of IMAX audiences are in between the ages of 19 and 56 which enables a great deal of variety when it comes to going with a specific sector. In addition with bulk of the audiences being college or university students with an average household income of $70,000, the acquiring power of the target market shows possibilities of increasing viewership.
With factors such as 'moms and dads showing an interest in their children's choice of home entertainment' and 'greater buying power in families' due to both moms and dads contributing towards the family income, we can see that the entertainment business has a lot of potential for market gamers.
While technological aspects have contributed towards lowering the expense of home entertainment with the intro 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 appealing than watching films at home. Additionally, while innovations have contributed towards the danger of 'piracy' they have actually also contributed towards ease of keeping and dispersing films.