As far as the political and legal factors are worried, the entire movie market is affected by the hazard of piracy which might possibly cause an unfavorable influence on the total revenue of the film market. Having said that, copyright laws offer defense to the film industry in terms of preventing piracy.
While the political and legal environment uses protection to film makers, globalization and improvement of technological factors have increased legal challenges such as ease of piracy and breaching intellectual property rights.
It needs to be kept in mind that movies become part of the show business while expenditure on any type of entertainment is essentially an optional cost which is more or a high-end instead of a necessity. However, we take a look at the contrast of the GDP pattern with the pattern in demand for films, we can see that the two are not straight proportional recommending that any modification in GDP growth does not necessarily bring about a change in this particular entertainment.
As far as the social-cultural elements are concerned, it must be noted that the 70% of IMAX audiences are in between the ages of 19 and 56 which permits a great deal of diversity when it pertains to opting for a specific segment. In addition with majority of the viewers being college or university students with a typical household earnings of $70,000, the buying power of the target audience reveals possibilities of increasing viewership.
With factors such as 'parents showing an interest in their children's choice of entertainment' and 'greater buying power in homes' due to both moms and dads contributing towards the household earnings, we can see that the home entertainment organisation has a great deal of capacity for industry gamers.
While technological aspects have contributed towards lowering the cost of entertainment with the intro of multimedia, truth based entertainment, home theatres, cable networks, the pressure on theatres has increased in regard to making the theatre experience richer for customers in order to make it more attractive than seeing motion pictures at home. Furthermore, while developments have actually contributed towards the danger of 'piracy' they have actually also contributed towards ease of storing and distributing movies.