As far as the legal and political elements are concerned, the whole film market is impacted by the hazard of piracy which might potentially bring about an unfavorable effect on the overall income of the movie market. Having stated that, copyright laws provide security to the movie market in terms of discouraging piracy.
While the legal and political environment offers defense to film makers, globalization and advancement of technological factors have actually increased legal obstacles such as ease of piracy and breaching copyright rights.
It ought to be noted that movies are part of the show business while expenditure on any type of entertainment is essentially an optional expenditure which is more or a high-end instead of a necessity. We look at the comparison of the GDP trend with the pattern in demand for movies, we can see that the 2 are not directly proportional suggesting that any modification in GDP development does not always bring about a change in this particular home entertainment.
As far as the social-cultural elements are concerned, it needs to be kept in mind that the 70% of IMAX audiences are between the ages of 19 and 56 which allows a lot of diversity when it comes to opting for a specific segment. In addition with majority of the audiences being college or university students with a typical household income of $70,000, the buying power of the target market reveals possibilities of increasing viewership.
With elements such as 'moms and dads revealing an interest in their kids's option of home entertainment' and 'greater buying power in homes' due to both parents contributing towards the household earnings, we can see that the entertainment organisation has a lot of capacity for market players.
While technological elements have actually contributed towards decreasing the cost of entertainment with the intro of multimedia, reality based entertainment, home theatres, cable 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 viewing motion pictures at home. Additionally, while innovations have contributed towards the danger of 'piracy' they have actually likewise contributed towards ease of storing and distributing films.