As far as the legal and political factors are concerned, the whole film industry is affected by the danger of piracy which might potentially produce an unfavorable influence on the overall revenue of the movie market. Having said that, copyright laws use defense to the movie market in regards to preventing piracy.
While the legal and political environment provides defense to film makers, globalization and advancement of technological aspects have increased legal obstacles such as ease of piracy and breaching copyright rights.
It ought to be kept in mind that motion pictures are part of the entertainment industry while expenditure on any form of home entertainment is essentially an optional cost which is more or a high-end rather than a necessity. We look at the comparison of the GDP pattern with the pattern in demand for movies, we can see that the 2 are not directly proportional suggesting that any modification in GDP growth does not necessarily bring about a modification in this particular home entertainment.
As far as the social-cultural elements are worried, it ought to be noted that the 70% of IMAX audiences are in between the ages of 19 and 56 which allows a great deal of diversity when it pertains to opting for a specific section. Furthermore with bulk of the audiences being college or university students with a typical household earnings of $70,000, the purchasing power of the target market shows possibilities of increasing viewership.
With factors such as 'moms and dads revealing an interest in their kids's option of entertainment' and 'greater purchasing power in families' due to both parents contributing towards the family income, we can see that the entertainment company has a lot of capacity for industry gamers.
While technological aspects have actually contributed towards reducing the expense of home entertainment with the introduction of multimedia, truth based 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 enjoying movies at home. Additionally, while developments have actually contributed towards the hazard of 'piracy' they have actually also contributed towards ease of storing and distributing movies.