As far as the political and legal elements are worried, the entire film market is impacted by the risk of piracy which could possibly cause a negative influence on the general revenue of the film market. Having said that, copyright laws offer defense to the film market in regards to dissuading piracy.
While the political and legal environment offers defense to film makers, globalization and development of technological elements have increased legal obstacles such as ease of piracy and breaching copyright rights.
It ought to be kept in mind that movies are part of the entertainment industry while expenditure on any form of entertainment is generally an optional cost which is more or a luxury rather than a need. We look at the contrast of the GDP pattern with the pattern in need for movies, we can see that the two are not directly proportional suggesting that any change in GDP growth does not necessarily bring about a modification in this specific entertainment.
As far as the social-cultural elements are worried, it should 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 comes to choosing a specific sector. Additionally with bulk of the audiences being college or university students with an average home income of $70,000, the purchasing power of the target audience reveals possibilities of increasing viewership.
With aspects such as 'parents revealing an interest in their kids's option of entertainment' and 'higher buying power in households' due to both parents contributing towards the family earnings, we can see that the entertainment company has a great deal of capacity for industry gamers.
While technological elements have actually contributed towards reducing the expense of entertainment with the introduction of multimedia, truth based home entertainment, home theatres, cable networks, the pressure on theatres has increased in term of making the theatre experience richer for consumers in order to make it more attractive than seeing films in the house. In addition, while developments have actually contributed towards the hazard of 'piracy' they have likewise contributed towards ease of storing and distributing movies.