Situation Analysis presently IMAX is suffering from declining revenue. With the cost of revenue steady gross do good has dropped each of the last four years while totalling operate expenses have steadily risen.Without significant changes coming soon IMAX will not be able to continue operations in the long term. Of importance is completing the partnership with AMC and REGAL and getting theatres converted to IMAX, for right now continue with cost press cutting measures this may mean more layoffs and additional operational cuts. It may be necessary that IMAX sell off a role of its sound company or its production company in order to generate cash. The reduced costs will not only reduce debt but increase cash go down will be needed to install equipment into each vernal theatre as they come on board. Problems IMAX runs into now ar of a revenue nature.
They have little control everyplace content of their product as they produce very few of their own movies with the majority coming from 3rd party financial backing and Hollywood productions. Their library while vast for large set up film is lacking in something for the masses. Currently the revenues generated from showing movies be 7% for reformatted movie and 30% for an IMAX movie. There is also the bed of stagnant box office Is this the right essay for you? Watch the video below to read 2 more pages now. or If you want to get a full essay, order it on our website:
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