As far as the legal and political elements are worried, the entire film market is impacted by the risk of piracy which could possibly bring about a negative impact on the general revenue of the film market. Having stated that, copyright laws use defense to the film 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 difficulties such as ease of piracy and breaking copyright rights.
It must be kept in mind that movies belong to the show business while expenditure on any type of home entertainment is basically an optional expense which is more or a high-end instead of a requirement. However, we take a look at the contrast of the GDP trend with the trend in demand for films, we can see that the two are not directly proportional suggesting that any modification in GDP development does not always produce a modification in this specific home entertainment.
As far as the social-cultural aspects are worried, it ought to be kept in mind that the 70% of IMAX audiences are in between the ages of 19 and 56 which permits a lot of diversity when it comes to selecting a particular segment. Furthermore with majority of the viewers being college or university students with a typical household earnings of $70,000, the buying power of the target market reveals possibilities of increasing viewership.
With elements such as 'parents revealing an interest in their kids's choice of home entertainment' and 'greater purchasing power in homes' due to both moms and dads contributing towards the family income, we can see that the entertainment organisation has a great deal of potential for market players.
While technological aspects have actually contributed towards decreasing the expense of home entertainment with the intro of multimedia, reality based entertainment, house theatres, cable networks, the pressure on theatres has actually increased in term of making the theatre experience richer for customers in order to make it more appealing than seeing movies in your home. In addition, while innovations have contributed towards the risk of 'piracy' they have actually likewise contributed towards ease of storing and distributing movies.