There are many factors surrounding the movie theater industry that one can use to understand the management environment. There are many internal and external components to consider when running a movie theater. This chapter discusses what components affect manager’s decisions and the view from the stakeholders in the business. One could make an argument for most of the components of the external environment being the most important component for the manager of a movie theater to focus on, but in my opinion the most important thing the manager should focus on is the sociocultural component. This is the component concerned with societal and cultural factors such as values, attitudes, trends, traditions, lifestyles, beliefs, tastes, and patterns of behavior. This should be important to the manager because in order to get people to fork over the money to see a movie in the theaters, they need to make it a “cool” thing to do. The focus should be on making the movie experience in the theater stand out from other theaters. Utilizing social media, offering a more luxury experience, better food, and better seats could be a few ways to accomplish this. If they …show more content…
One important factor, according to industry analysts, is the uncertainty over how people want their movies delivered. According to the case it is a trade off between convenience and quality. People can now stream movies to their tablets and smart phones, but managers believe they do not need to be concerned with that because of how much lower the quality is. A trend they are concerned with is the advancement of home theater systems that can produce an acceptable quality movie watching experience, for a reasonable price. This brings me back to finding a way to gain a competitive advantage. The theater needs to be able to provide something that the user cannot get anywhere else to keep people in the