As far as the political and legal aspects are worried, the whole film market is impacted by the threat of piracy which could potentially produce a negative effect on the overall profits of the movie market. Having said that, copyright laws provide protection to the film market in regards to preventing piracy.
While the legal and political environment offers security to film makers, globalization and advancement of technological elements have actually increased legal difficulties such as ease of piracy and breaching intellectual property rights.
It needs to be noted that motion pictures belong to the entertainment industry while expense on any kind of entertainment is generally an optional expenditure which is more or a high-end instead of a necessity. We look at the contrast of the GDP trend with the pattern in demand for motion pictures, we can see that the 2 are not directly proportional suggesting that any change in GDP growth does not always bring about a modification in this specific home entertainment.
As far as the social-cultural factors are concerned, it must be kept in mind that the 70% of IMAX viewers are between the ages of 19 and 56 which enables a lot of variety when it concerns going with a particular section. Additionally with bulk of the audiences 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 showing an interest in their kids's choice of home entertainment' and 'higher buying power in homes' due to both parents contributing towards the home income, we can see that the home entertainment organisation has a lot of capacity for industry players.
While technological elements have contributed towards lowering the expense of home entertainment with the intro of multimedia, reality based entertainment, house theatres, cable networks, the pressure on theatres has increased in term of making the theatre experience richer for consumers in order to make it more appealing than enjoying movies in your home. Furthermore, while innovations have contributed towards the threat of 'piracy' they have actually likewise contributed towards ease of keeping and distributing movies.