As far as the political and legal aspects are worried, the whole movie industry is affected by the threat of piracy which might possibly bring about a negative influence on the total revenue of the film market. Having stated that, copyright laws provide defense to the movie industry in terms of dissuading piracy.
While the legal and political environment uses defense to movie makers, globalization and development of technological aspects have actually increased legal obstacles such as ease of piracy and breaking intellectual property rights.
It should be kept in mind that movies become part of the entertainment industry while expense on any kind of home entertainment is generally an optional cost which is more or a luxury rather than a need. We look at the contrast of the GDP trend with the pattern in need for motion pictures, we can see that the two are not straight proportional suggesting that any change in GDP growth does not always bring about a modification in this specific entertainment.
As far as the social-cultural factors are worried, it must be noted that the 70% of IMAX viewers are in between the ages of 19 and 56 which enables a lot of variety when it comes to choosing a specific section. In addition with majority of the viewers being college or university students with an average household income of $70,000, the purchasing 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 purchasing power in households' due to both moms and dads contributing towards the home earnings, we can see that the home entertainment company has a lot of capacity for market gamers.
While technological elements have actually contributed towards lowering the cost of home entertainment with the introduction of multimedia, reality based entertainment, house theatres, cable television 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 seeing movies in the house. In addition, while developments have contributed towards the threat of 'piracy' they have actually likewise contributed towards ease of storing and distributing films.