We have a locally owned theater that we go to all the time and have a blast. They only charge $7 for matinee ($9 regular) and do the whole table/dining experience. There was another just like it that got bought out by Regal around a decade ago and Regal ran it straight into the ground to the point that they just boarded it up a couple of months ago.

I dont know that the issue is with theaters so much as the issue being with everything being owned by some mega corp with sky high prices and poor quality service.