As far as the legal and political factors are worried, the entire film market is affected by the danger of piracy which might possibly produce an unfavorable influence on the general income of the film industry. Having stated that, copyright laws use protection to the film market in regards to discouraging piracy.
While the legal and political environment provides protection to film makers, globalization and advancement of technological elements have actually increased legal obstacles such as ease of piracy and breaching copyright rights.
It needs to be noted that motion pictures belong to the entertainment industry while expenditure on any kind of entertainment is basically an optional expenditure which is more or a high-end instead of a need. Nevertheless, we take a look at the contrast 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 growth does not necessarily cause a change in this specific home entertainment.
As far as the social-cultural factors are worried, it needs to be noted that the 70% of IMAX audiences are between the ages of 19 and 56 which enables a lot of diversity when it comes to selecting a particular segment. Furthermore with majority of the audiences being college or university students with an average home earnings of $70,000, the buying power of the target audience reveals possibilities of increasing viewership.
With factors such as 'moms and dads showing an interest in their children's option of entertainment' and 'higher buying power in homes' due to both moms and dads contributing towards the family earnings, we can see that the entertainment business has a lot of potential for market gamers.
While technological aspects have actually contributed towards decreasing the expense of entertainment with the intro of multimedia, truth based entertainment, house theatres, cable television networks, the pressure on theatres has actually increased in regard to making the theatre experience richer for consumers in order to make it more appealing than seeing motion pictures in the house. Additionally, while developments have actually contributed towards the danger of 'piracy' they have actually likewise contributed towards ease of saving and distributing movies.