As far as the legal and political factors are worried, the entire film market is impacted by the threat of piracy which could potentially produce a negative impact on the general profits of the film market. Having stated that, copyright laws use protection to the movie market in regards to discouraging piracy.
While the legal and political environment offers defense to film makers, globalization and improvement of technological factors have increased legal difficulties such as ease of piracy and breaking intellectual property rights.
It should be noted that motion pictures become part of the show business while expenditure on any form of entertainment is generally an optional cost which is more or a luxury rather than a need. However, we look at the comparison of the GDP pattern with the trend in demand for films, we can see that the two are not directly proportional suggesting that any change in GDP development does not necessarily cause a modification in this particular entertainment.
As far as the social-cultural factors are concerned, it ought to be kept in mind that the 70% of IMAX viewers are in between the ages of 19 and 56 which allows a lot of diversity when it concerns going with a particular section. Furthermore with majority of the viewers being college or university students with a typical family income of $70,000, the buying power of the target audience reveals possibilities of increasing viewership.
With aspects such as 'moms and dads revealing an interest in their kids's option of home entertainment' and 'higher buying power in families' due to both parents contributing towards the home earnings, we can see that the entertainment organisation has a great deal of potential for industry players.
While technological aspects have contributed towards lowering the expense of home entertainment with the introduction of multimedia, reality based home entertainment, home theatres, cable television networks, the pressure on theatres has actually increased in regard to making the theatre experience richer for customers in order to make it more attractive than viewing motion pictures at home. Additionally, while developments have actually contributed towards the risk of 'piracy' they have likewise contributed towards ease of keeping and distributing movies.