As far as the political and legal elements are concerned, the whole movie market is impacted by the risk of piracy which could potentially produce a negative impact on the overall revenue of the film market. Having said that, copyright laws provide defense to the movie market in regards to discouraging piracy.
While the legal and political environment provides defense to movie makers, globalization and improvement of technological aspects have increased legal difficulties such as ease of piracy and breaching copyright rights.
It must be kept in mind that movies belong to the show business while expenditure on any type of entertainment is basically an optional expenditure which is more or a high-end instead of a need. However, we look at the comparison of the GDP pattern with the trend in demand for motion pictures, we can see that the two are not directly proportional suggesting that any change in GDP development does not always produce a change in this particular entertainment.
As far as the social-cultural elements are worried, 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 going with a specific segment. Furthermore with bulk of the viewers being college or university students with a typical family income of $70,000, the buying power of the target market reveals possibilities of increasing viewership.
With factors such as 'parents revealing an interest in their kids's choice of entertainment' and 'higher buying power in homes' due to both parents contributing towards the household earnings, we can see that the home entertainment organisation has a great deal of capacity for market gamers.
While technological aspects have contributed towards lowering the cost of home entertainment with the intro of multimedia, truth based home entertainment, house theatres, cable networks, the pressure on theatres has increased in regard to making the theatre experience richer for consumers in order to make it more attractive than viewing movies in the house. Additionally, while innovations have actually contributed towards the hazard of 'piracy' they have actually likewise contributed towards ease of saving and dispersing films.