As far as the legal and political elements are concerned, the entire film industry is impacted by the risk of piracy which could possibly cause a negative influence on the overall income of the film market. Having stated that, copyright laws provide protection to the movie market in regards to preventing piracy.
While the political and legal environment provides defense to movie makers, globalization and advancement of technological factors have increased legal challenges such as ease of piracy and breaking intellectual property rights.
It should be noted that movies belong to the show business while expense on any kind of entertainment is generally an optional cost which is more or a luxury rather than a need. We look at the contrast of the GDP pattern with the trend in demand for movies, we can see that the 2 are not directly proportional suggesting that any change in GDP growth does not necessarily bring about a modification in this particular entertainment.
As far as the social-cultural elements are worried, it must be noted that the 70% of IMAX viewers 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. Furthermore with majority of the viewers being college or university students with a typical family earnings of $70,000, the purchasing power of the target market reveals possibilities of increasing viewership.
With elements such as 'moms and dads revealing an interest in their children's option of home entertainment' and 'greater purchasing power in homes' due to both parents contributing towards the home income, we can see that the entertainment service has a lot of capacity for market gamers.
While technological elements have actually contributed towards decreasing the cost of home entertainment with the intro of multimedia, truth based entertainment, home theatres, cable networks, the pressure on theatres has increased in regard to making the theatre experience richer for customers in order to make it more attractive than seeing motion pictures in the house. In addition, while innovations have actually contributed towards the hazard of 'piracy' they have likewise contributed towards ease of storing and distributing films.