As far as the political and legal aspects are concerned, the whole movie industry is affected by the hazard of piracy which could potentially produce an unfavorable influence on the total earnings of the film market. Having stated that, copyright laws provide defense to the film market in terms of dissuading piracy.
While the legal and political environment offers defense to film makers, globalization and development of technological aspects have increased legal obstacles such as ease of piracy and breaking copyright rights.
It should be noted that motion pictures are part of the entertainment industry while expense on any type of home entertainment is generally an optional expense which is more or a high-end rather than a necessity. However, we take a look at the contrast of the GDP trend with the pattern in demand for movies, we can see that the two are not straight proportional recommending that any change in GDP development does not always bring about a modification in this particular entertainment.
As far as the social-cultural elements are worried, it needs to be noted that the 70% of IMAX audiences are between the ages of 19 and 56 which permits a great deal of diversity when it pertains to selecting a specific section. Additionally with bulk of the audiences being college or university students with a typical household income of $70,000, the buying power of the target market reveals possibilities of increasing viewership.
With aspects such as 'moms and dads revealing an interest in their children's option of entertainment' and 'higher purchasing power in households' due to both parents contributing towards the household earnings, we can see that the entertainment business has a great deal of potential for industry players.
While technological elements have contributed towards lowering the expense of entertainment with the intro of multimedia, truth based entertainment, home theatres, cable television 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 movies in the house. Additionally, while developments have actually contributed towards the threat of 'piracy' they have actually likewise contributed towards ease of saving and distributing films.