Bollywood movies are made in India (and in Mumbai, to be more precise) and so it is not surprising that their biggest audiences come from India. However, Bollywood films are popular throughout the entire world, and pretty much all countries across the globe are home to fans of these unique and inspiring movies.
A recent (2012) study found that 1.2 billion people watched Bollywood films in India, and 3.3 million people were watching them in North America. That illustrates that though this is very much a quintessentially Indian film industry, it has a truly global reach.
Bollywood has been making a concerted effort to extend its fan base across the world, for example, there is a Bollywood film festival in North America each year (the festival was recently established a few years ago and it has proved to be very popular indeed) and similar initiatives are taking place right across the world as we speak.