As far as the legal and political elements are concerned, the whole movie market is impacted by the hazard of piracy which could possibly bring about an unfavorable impact on the general profits of the movie market. Having stated that, copyright laws provide protection to the movie market in regards to dissuading piracy.
While the legal and political environment uses security to movie makers, globalization and advancement of technological aspects have actually increased legal obstacles such as ease of piracy and breaking intellectual property rights.
It must be noted that films belong to the show business while expenditure on any kind of home entertainment is essentially an optional expenditure which is more or a luxury rather than a necessity. We look at the contrast of the GDP pattern with the trend in need for movies, we can see that the two are not directly proportional recommending that any modification in GDP development does not always bring about a change in this specific entertainment.
As far as the social-cultural elements are worried, it needs to be kept in mind that the 70% of IMAX audiences are in between the ages of 19 and 56 which permits a lot of diversity when it concerns selecting a particular section. Furthermore with majority of the audiences being college or university students with an average home earnings of $70,000, the acquiring power of the target market shows possibilities of increasing viewership.
With factors such as 'moms and dads showing an interest in their kids's option of entertainment' and 'greater buying power in families' due to both parents contributing towards the household earnings, we can see that the entertainment company has a great deal of potential for industry players.
While technological elements have contributed towards lowering the cost of entertainment with the introduction of multimedia, truth based home entertainment, home 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 films at home. In addition, while developments have contributed towards the danger of 'piracy' they have also contributed towards ease of saving and distributing films.