As far as the legal and political factors are concerned, the entire movie market is impacted by the hazard of piracy which might potentially bring about a negative influence on the total income of the film industry. Having said that, copyright laws provide protection to the movie industry in terms of preventing piracy.
While the legal and political environment offers protection to movie makers, globalization and development of technological aspects have actually increased legal obstacles such as ease of piracy and breaking copyright rights.
It ought to be noted that movies become part of the show business while expenditure on any kind of home entertainment is basically an optional expense which is more or a high-end rather than a need. We look at the contrast of the GDP pattern with the trend in need for movies, we can see that the 2 are not straight proportional suggesting that any modification in GDP growth does not always bring about a change in this particular home entertainment.
As far as the social-cultural aspects are concerned, it must be kept in mind that the 70% of IMAX viewers are in between the ages of 19 and 56 which enables a lot of variety when it pertains to selecting a particular sector. Additionally with majority of the viewers being college or university students with a typical home 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 kids's choice of home entertainment' and 'higher purchasing power in homes' due to both moms and dads contributing towards the home income, we can see that the home entertainment business has a great deal of capacity for industry gamers.
While technological elements have contributed towards reducing the expense of entertainment with the introduction of multimedia, reality based home entertainment, home theatres, cable television networks, the pressure on theatres has actually increased in term of making the theatre experience richer for consumers in order to make it more attractive than enjoying motion pictures in your home. Additionally, while innovations have contributed towards the danger of 'piracy' they have likewise contributed towards ease of saving and dispersing movies.