As far as the legal and political aspects are concerned, the entire movie industry is impacted by the threat of piracy which might possibly cause a negative effect on the overall earnings of the film market. Having said that, copyright laws use security to the film industry in regards to discouraging piracy.
While the political and legal environment provides defense to movie makers, globalization and advancement of technological factors have actually increased legal obstacles such as ease of piracy and breaking intellectual property rights.
It must be kept in mind that films are part of the entertainment industry while expenditure on any form of entertainment is basically an optional expense which is more or a luxury rather than a requirement. We look at the contrast of the GDP pattern with the trend in demand for motion pictures, we can see that the two are not straight proportional suggesting that any change in GDP development does not always bring about a modification in this specific home entertainment.
As far as the social-cultural factors are concerned, it should be kept in mind that the 70% of IMAX viewers are in between the ages of 19 and 56 which enables a lot of variety when it concerns choosing a specific segment. Additionally with bulk of the viewers being college or university students with an average family earnings of $70,000, the purchasing power of the target audience reveals possibilities of increasing viewership.
With elements such as 'parents revealing an interest in their kids's option of entertainment' and 'greater buying power in households' due to both moms and dads contributing towards the household income, we can see that the entertainment business has a lot of potential for market players.
While technological elements have actually contributed towards lowering the cost of entertainment with the introduction of multimedia, reality based home entertainment, house theatres, cable television networks, the pressure on theatres has actually increased in regard to making the theatre experience richer for consumers in order to make it more attractive than enjoying motion pictures in your home. Furthermore, while developments have actually contributed towards the hazard of 'piracy' they have likewise contributed towards ease of keeping and dispersing movies.