As far as the political and legal elements are concerned, the whole film market is impacted by the risk of piracy which could possibly produce an unfavorable effect on the general revenue of the movie market. Having stated that, copyright laws use protection to the film industry in regards to discouraging piracy.
While the legal and political environment offers protection to film makers, globalization and improvement of technological factors have increased legal difficulties such as ease of piracy and breaking intellectual property rights.
It needs to be kept in mind that motion pictures belong to the entertainment industry while expenditure on any form of home entertainment is basically an optional expense which is more or a luxury rather than a necessity. We look at the contrast of the GDP trend with the trend in need for movies, we can see that the two are not straight proportional suggesting that any modification in GDP development does not always bring about a change in this particular entertainment.
As far as the social-cultural elements are worried, it ought to be noted that the 70% of IMAX viewers are between the ages of 19 and 56 which permits a great deal of variety when it concerns going with a specific section. Furthermore with bulk of the audiences being college or university students with a typical household income of $70,000, the acquiring power of the target audience reveals possibilities of increasing viewership.
With factors such as 'parents showing an interest in their kids's choice of home entertainment' and 'higher purchasing power in homes' due to both parents contributing towards the family income, we can see that the home entertainment company has a great deal of capacity for industry gamers.
While technological aspects have contributed towards lowering the cost of home entertainment with the introduction of multimedia, truth based entertainment, home theatres, cable networks, the pressure on theatres has increased in term of making the theatre experience richer for customers in order to make it more appealing than watching motion pictures in the house. Additionally, while developments have actually contributed towards the hazard of 'piracy' they have also contributed towards ease of storing and distributing films.