As far as the legal and political aspects are worried, the entire film industry is affected by the danger of piracy which might potentially cause an unfavorable impact on the total profits of the film industry. Having stated that, copyright laws offer security to the movie market in regards to dissuading piracy.
While the political and legal environment provides defense to movie makers, globalization and advancement of technological aspects have actually increased legal difficulties such as ease of piracy and violating intellectual property rights.
It needs to be kept in mind that motion pictures belong to the show business while expense on any kind of entertainment is basically an optional expenditure which is more or a high-end instead of a need. Nevertheless, we look at the contrast of the GDP pattern with the trend in demand for films, we can see that the two are not straight proportional suggesting that any change in GDP development 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 between the ages of 19 and 56 which permits a lot of diversity when it comes to choosing a particular section. In addition with majority of the audiences being college or university students with a typical household income of $70,000, the purchasing power of the target audience reveals possibilities of increasing viewership.
With factors such as 'parents revealing an interest in their children's option of home entertainment' and 'greater buying power in homes' due to both parents contributing towards the home income, we can see that the entertainment organisation has a great deal of capacity for market players.
While technological elements have actually contributed towards lowering the expense of home entertainment with the intro of multimedia, reality based entertainment, house 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 enjoying films in the house. Additionally, while developments have contributed towards the hazard of 'piracy' they have likewise contributed towards ease of saving and distributing films.