As far as the political and legal aspects are worried, the entire movie industry is impacted by the danger of piracy which could potentially cause an unfavorable influence on the total earnings of the movie industry. Having stated that, copyright laws use protection to the movie market in terms of dissuading piracy.
While the political and legal environment provides security to film makers, globalization and improvement of technological factors have actually increased legal challenges such as ease of piracy and breaking copyright rights.
It needs to be noted that films become part of the entertainment industry while expenditure on any kind of entertainment is essentially an optional expense which is more or a luxury rather than a necessity. We look at the comparison of the GDP trend with the trend in demand for films, we can see that the 2 are not straight proportional recommending that any modification in GDP development does not necessarily bring about a change in this particular home entertainment.
As far as the social-cultural elements are concerned, it must be kept in mind that the 70% of IMAX audiences are between the ages of 19 and 56 which permits a lot of diversity when it pertains to choosing a specific segment. Additionally with majority of the viewers being college or university students with an average household income of $70,000, the acquiring power of the target audience shows possibilities of increasing viewership.
With elements such as 'parents revealing an interest in their kids's choice of entertainment' and 'greater purchasing power in households' due to both moms and dads contributing towards the home income, we can see that the entertainment organisation has a lot of potential for industry 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 increased in regard to making the theatre experience richer for consumers in order to make it more appealing than viewing films in your home. In addition, while developments have contributed towards the danger of 'piracy' they have actually also contributed towards ease of storing and dispersing movies.