As far as the political and legal elements are worried, the entire film industry is impacted by the hazard of piracy which might potentially cause an unfavorable influence on the general earnings of the film industry. Having said that, copyright laws offer security to the movie market in regards to preventing piracy.
While the political and legal environment uses security to movie makers, globalization and improvement of technological aspects have actually increased legal challenges such as ease of piracy and breaching intellectual property rights.
It ought to be kept in mind that movies belong to the entertainment industry while expense on any type of home entertainment is essentially an optional expense which is more or a high-end rather than a requirement. However, we look at the comparison of the GDP trend with the trend in demand for motion pictures, we can see that the two are not directly proportional suggesting that any change in GDP development does not necessarily cause a modification in this particular entertainment.
As far as the social-cultural aspects are concerned, it needs to be noted that the 70% of IMAX audiences are in between the ages of 19 and 56 which allows a lot of diversity when it comes to going with a particular sector. In addition with bulk of the viewers being college or university students with a typical family income of $70,000, the purchasing power of the target audience reveals possibilities of increasing viewership.
With aspects such as 'moms and dads showing an interest in their kids's choice of home entertainment' and 'higher purchasing power in homes' due to both moms and dads contributing towards the family earnings, we can see that the home entertainment company has a lot of capacity for industry gamers.
While technological elements have contributed towards decreasing the cost of home entertainment with the introduction of multimedia, truth 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 attractive than seeing motion pictures in the house. Additionally, while developments have actually contributed towards the danger of 'piracy' they have actually likewise contributed towards ease of keeping and dispersing movies.