As far as the political and legal aspects are concerned, the entire movie market is impacted by the danger of piracy which might potentially cause a negative effect on the overall income of the film industry. Having stated that, copyright laws provide security to the movie market in regards to dissuading piracy.
While the legal and political environment provides protection to film makers, globalization and improvement 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 entertainment industry while expenditure on any type of home entertainment is essentially an optional expense which is more or a luxury instead of a requirement. However, we take a look at the contrast of the GDP trend with the pattern in demand for motion pictures, we can see that the two are not directly proportional recommending that any modification in GDP growth does not necessarily cause a modification in this particular home entertainment.
As far as the social-cultural factors are concerned, it ought to be kept in mind that the 70% of IMAX viewers are in between the ages of 19 and 56 which allows a great deal of diversity when it pertains to going with a particular section. Additionally with majority of the viewers being college or university students with a typical family earnings of $70,000, the buying power of the target audience reveals possibilities of increasing viewership.
With factors such as 'moms and dads showing an interest in their children's option 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 lot of capacity for industry gamers.
While technological factors have actually contributed towards decreasing the expense of home entertainment with the introduction of multimedia, truth based home entertainment, home 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 enjoying motion pictures at home. Additionally, while innovations have contributed towards the risk of 'piracy' they have actually also contributed towards ease of saving and dispersing films.