As far as the legal and political aspects are concerned, the whole film industry is impacted by the danger of piracy which could potentially cause an unfavorable impact on the overall income of the film market. Having said that, copyright laws use security to the film industry in regards to preventing piracy.
While the political and legal environment uses security to movie makers, globalization and advancement of technological aspects have actually increased legal obstacles such as ease of piracy and breaching intellectual property rights.
It ought to be kept in mind that motion pictures become part of the entertainment industry while expense on any type of entertainment is generally an optional expenditure which is more or a high-end instead of a requirement. Nevertheless, we take a look at the contrast of the GDP trend with the trend in demand for motion pictures, we can see that the two are not directly proportional recommending that any change in GDP growth does not necessarily cause a change in this specific home entertainment.
As far as the social-cultural factors are worried, it needs to be kept in mind that the 70% of IMAX viewers are between the ages of 19 and 56 which allows a lot of variety when it concerns selecting a specific segment. In addition with majority of the viewers being college or university students with an average home income of $70,000, the buying power of the target audience reveals possibilities of increasing viewership.
With elements such as 'parents revealing an interest in their children's choice of entertainment' and 'higher buying power in homes' due to both moms and dads contributing towards the home earnings, we can see that the entertainment company has a lot of capacity for industry players.
While technological aspects have contributed towards decreasing the cost of entertainment with the introduction of multimedia, reality based entertainment, home theatres, cable networks, the pressure on theatres has actually increased in term of making the theatre experience richer for consumers in order to make it more appealing than viewing motion pictures in the house. Furthermore, while developments have contributed towards the threat of 'piracy' they have also contributed towards ease of keeping and distributing movies.