Nintendo : The World's Largest Video Game Company

Nintendo take the actions it did? How did these affect the value created by the industry?

With innovation on his mind,Yamauchi branched out into a number of other, less lucrative endeavors, including an instant-rice company and a pay-by-the-hour “love hotel.” These disappointments led Yamauchi to the conclusion that Nintendo’s greatest asset was the meticulous distribution system that it had built over decades of selling playing cards. With such an intricate and expansive pipeline already in place, he narrowed his entrepreneurial scope to products that could be sold in toy and department stores and settled upon a new category called

In 1985, Nintendo launched their first at-home console, known as the Family Computer (Nintendo Entertainment System in the U.S.). Miyamoto created the two

They started to develop video games in the 1970s and they got his success in the business of video games. Currently, Nintendo is one of the richest and valuable companies in Japan.

Like St. Jude 's, Nintendo, a for-profit business, is building its brand identity through their PR and advertising and their social media. Throughout Nintendo’s many years of business, they have had many logos for their company, consoles, and other products. Their most used logo is white text that reads, “Nintendo” in a red oval around the text. This logo is used on buildings, clothing, the game consoles, and pretty much all of Nintendo 's other merchandise. This logo has been used

In 1975, Nintendo shifted to the video arcade game industry with EVR Race, designed by first game designer Genyo Takeda. Along with several other titles, Nintendo started out with some success, but in 1981, the release of Donkey Kong, designed by Shigeru Miyamoto, increased Nintendo’s profits exponentially. The success of the game along with many licensing opportunities provided Nintendo a huge boost in money, and the game also introduced a visualization of Mario, the mascot of Nintendo. Back then, Mario was known as Jumpman.

Satoru Iwata Satoru Iwata is one of the most influential figures in our history because he helped make many of Nintendo's most favored games, he was the first CEO of Nintendo that wasn't in the Yamauchi family, and he introduced the Wii, the Wii u, and the Nintendo 3DS (Thesis Statement). Iwata tended to be more friendly than the usual, stereotypical, businessman. Because of that, people had more respect and favoritism towards him (Source #4). Early Life Satoru Iwata was born on December 6, 1959 in a place called Sapporo, Hokkaido, Japan (Source #2). Satoru's father was a mayor(Source #4).

Sony, Microsoft and Nintendo have been competing for a decade with Sony dominating the market throughout most of the years because of their superior technological products. The video games industry faces an entirely new rivalry situation. In 2008, Sony lost its strong position on the market, because of Nintendo’s success with their dynamic Wii over Sony’s high-tech PlayStation 3 and Windows’ Xbox 360. Although the Wii was technologically much less advanced than PS3 and Xbox 360, the Wii's cheaper price, ease of use, innovative motion-sensitive controller, and simple but fun games, made the console a hit all demographics from 9 to 65 years old, male and female. All these factors resulted in Nintendo’s Wii dominating sales and surpassing Sony’s by an impressive ratio of 2:1.

Satoru Iwata once stated: “On my business card, I am a cooperative president. In my mind, I'm a game developer. But in my heart, I am a gamer.” In life, people are different on the outside than on the inside. Satoru Iwata was born on December 6, 1959 Satoru Iwata was a gamer in high school and started creating games on his own time. Iwata eventually became Nintendo’s 4th president and devise many popular games including Super Mario Sunshine, Star Fox Adventures and Metroid Prime. Iwata eventually died due to bile duct cancer at 55 years old. Satoru iwata created many base Nintendo games, innovated Nintendo’s popularity rate and illuminated the gaming industry Throughout the world.

Nintendo Company, Ltd is based in Kyoto Japan. They are recognized as being the "worldwide leader in the creation of interactive entertainment" (Nintendo, 2002, PG). Some of the world's best selling video gaming has come from the Nintendo Company, including Game Boy and Nintendo 64. In America Nintendo is based in Redmond, Washington. It is interesting to note that in American households nearly 40% have a Nintendo product.

The fifth and final force is that of the intensity of rivalry. This is the strongest force in the video game industry. Nintendo was very strategic in targeting an audience that Microsoft and Sony neglected. While Microsoft and Sony focused on the typical gamers, males ages 18-34, Nintendo focused on a broader audience “everyone” when creating their Wii. In the video game industry rivalry Microsoft and Sony are battling for the same market, while Nintendo has much of its audience all to itself. This is why

The role of technology is vital in this industry as it focuses on technological efforts for competitive advantage. Every new development uses new technology. Though there are restricted innovations in the gaming industry, the speed of technological transfer is very high. Nintendo’s role from playing cards to toys to video games and then with each console introduced, included many technological changes. Technological up gradation increased hardware costs and discouraged innovation. The online capability of Nintendo Wii was a major change in the technology of the video game industry though they were not able to do as well as their competitors (Sony, Microsoft).

Nintendo was originally founded in 1889 as a Japanese playing card company by a man named Fusajiro Yamauchi. A few years later, the company was not doing as well as they expected so they decided to try out many different things such as becoming a taxi company, a hotel chain and even a food company selling instant rice in 1963. Eventually, they

Nintendo however is not present in this new market and therefore it is very important to take in consideration to enter this new area because at the moment the company does not have products that satisfy those new needs resulting in the loose of sales and consequently revenues.

The main obstacle facing a start-up video game console company from entering the industry is saturation of the market from the larger video game console makers or the “big three” Nintendo, Microsoft, and Sony. The big three tend to release new game consoles around the same time frame and compete head to head for sales. During the time frame it is impossible for a new entry to jump into the fray. 2010 was a banner year for video console sales Sony’s PS3 sold 14 million units followed by Microsoft’s Xbox 360 13 million and surprisingly Nintendo’s Wii led the big three selling 17 million units. After the 2010 release of all three consoles sales started to decline for each company. Nintendo took the largest sales loss at 72% in 2013 only 747,000 were sold compared