As far as the political and legal elements are concerned, the whole movie market is impacted by the danger of piracy which could potentially produce an unfavorable effect on the overall revenue of the movie market. Having stated that, copyright laws provide defense to the film industry in terms of dissuading piracy.
While the political and legal environment uses security to film makers, globalization and development of technological factors have increased legal challenges such as ease of piracy and violating intellectual property rights.
It ought to be kept in mind that movies belong to the entertainment industry while expenditure on any type of entertainment is essentially an optional expense which is more or a luxury instead of a need. We look at the comparison of the GDP pattern with the trend in need for motion pictures, we can see that the 2 are not straight proportional recommending that any modification in GDP growth does not always bring about a modification in this particular entertainment.
As far as the social-cultural aspects are concerned, it should be noted that the 70% of IMAX viewers are between the ages of 19 and 56 which enables a lot of diversity when it pertains to selecting a specific segment. Additionally with bulk of the viewers being college or university students with an average family income of $70,000, the purchasing power of the target audience 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 moms and dads contributing towards the family earnings, we can see that the home entertainment organisation has a lot of capacity for market gamers.
While technological elements have 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 increased in term of making the theatre experience richer for customers in order to make it more appealing than watching motion pictures at home. Additionally, while innovations have actually contributed towards the risk of 'piracy' they have actually likewise contributed towards ease of saving and distributing movies.