As far as the legal and political elements are worried, the whole film market is affected by the hazard of piracy which could possibly produce a negative impact on the general earnings of the movie market. Having said that, copyright laws provide security to the film industry in terms of preventing piracy.
While the political and legal environment offers defense to movie makers, globalization and advancement of technological aspects have increased legal challenges such as ease of piracy and breaking intellectual property rights.
It ought to be noted that films belong to the entertainment industry while expense on any kind of entertainment is generally an optional expense which is more or a luxury rather than a necessity. However, we look at the contrast of the GDP pattern with the trend in demand for movies, we can see that the two are not straight proportional recommending that any modification in GDP development does not necessarily bring about a modification in this specific home entertainment.
As far as the social-cultural elements are worried, it needs to be noted that the 70% of IMAX viewers are in between the ages of 19 and 56 which allows a great deal of diversity when it concerns selecting a particular sector. 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 market reveals possibilities of increasing viewership.
With factors such as 'moms and dads showing an interest in their kids's choice of home entertainment' and 'higher buying power in homes' due to both parents contributing towards the home earnings, we can see that the home entertainment service has a great deal of potential for industry gamers.
While technological elements have actually contributed towards reducing the cost of home entertainment with the intro of multimedia, truth based 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 seeing motion pictures in the house. In addition, while innovations have actually contributed towards the danger of 'piracy' they have actually likewise contributed towards ease of storing and distributing movies.