As far as the legal and political factors are worried, the entire movie industry is affected by the threat of piracy which might possibly produce an unfavorable influence on the overall income of the film market. Having said that, copyright laws use security to the film market in regards to preventing piracy.
While the legal and political environment provides security to movie makers, globalization and development of technological elements have actually increased legal obstacles such as ease of piracy and violating intellectual property rights.
It ought to be kept in mind that motion pictures are part of the show business while expense on any form of home entertainment is generally an optional expenditure which is more or a high-end instead of a requirement. We look at the contrast of the GDP pattern with the pattern in need for motion pictures, we can see that the two are not straight proportional suggesting that any change in GDP development does not necessarily bring about a modification in this specific home entertainment.
As far as the social-cultural elements are concerned, it must be noted that the 70% of IMAX viewers are in between the ages of 19 and 56 which allows a lot of variety when it pertains to choosing a specific sector. Additionally with bulk 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 elements such as 'moms and dads showing an interest in their children'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 service has a lot of potential for market gamers.
While technological elements have contributed towards reducing the expense of entertainment with the intro of multimedia, truth based entertainment, house theatres, cable networks, the pressure on theatres has actually increased in term of making the theatre experience richer for consumers in order to make it more appealing than enjoying motion pictures in the house. Furthermore, while innovations have contributed towards the danger of 'piracy' they have also contributed towards ease of saving and dispersing movies.