What role did the home video market play in the evolution of the film industry during the 1980s?

The home video market played a transformative role in the evolution of the film industry during the 1980s by stimulating revenue and expanding audience reach beyond traditional theaters. With the advent of VHS (Video Home System) and later formats, films became accessible to a broader audience who could watch movies from the comfort of their homes. This convenience led to an increase in sales and rentals, significantly boosting the income of studios that had previously relied primarily on box office revenue.

The growing popularity of home video also changed viewing habits, allowing audiences to engage with films in a new way, often leading to repeated viewings and the discovery of older titles that might not have been popular in theaters. This accessibility contributed to the nurture of film culture, as audiences could revisit and discuss films more frequently than if they had to rely solely on theatrical releases.

In contrast, the other options miss key aspects of this development; for example, the home video market did not limit access to films but rather did the opposite by providing more opportunities for audiences to view films. It also did not directly reduce production budgets, nor did it eliminate the need for theatrical releases, as many films continued to enjoy successful runs in cinemas before or alongside their home media releases.