As far as the legal and political aspects are worried, the whole movie market is affected by the danger of piracy which might possibly bring about an unfavorable effect on the general earnings of the movie market. Having said that, copyright laws offer security to the film industry in regards to preventing piracy.
While the legal and political environment uses security to film makers, globalization and development of technological aspects have actually increased legal challenges such as ease of piracy and breaking copyright rights.
It needs to be kept in mind that movies become part of the entertainment industry while expense on any form of entertainment is generally an optional cost which is more or a luxury rather than a necessity. We look at the comparison of the GDP pattern with the trend in demand for movies, we can see that the two are not directly proportional recommending that any modification in GDP development does not always bring about a change in this specific entertainment.
As far as the social-cultural factors are concerned, it needs to be noted that the 70% of IMAX viewers are in between the ages of 19 and 56 which permits a lot of diversity when it pertains to selecting a particular segment. Furthermore with bulk of the audiences being college or university students with an average household earnings of $70,000, the buying power of the target market shows possibilities of increasing viewership.
With aspects such as 'moms and dads showing an interest in their kids's choice of entertainment' and 'greater buying power in families' due to both moms and dads contributing towards the home earnings, we can see that the entertainment organisation has a lot of capacity for market players.
While technological elements have actually contributed towards reducing the cost of home entertainment with the intro of multimedia, reality based entertainment, home theatres, cable television networks, the pressure on theatres has actually increased in term of making the theatre experience richer for consumers in order to make it more appealing than enjoying films in the house. In addition, while developments have contributed towards the risk of 'piracy' they have actually also contributed towards ease of storing and distributing movies.