Success Entry Of Nintendo 's Wii Video Game Console

Consider the situation faced by Nintendo, the oldest video-game company in the world. The company had positioned its line of developing good games for all age stages and strongly opposed to violence and pornography. In 1985, shortly after the company’s introduction of Nintendo Entertainment System to the United States, Nintendo met its match when Japanese entertainment giant Sony and American tech behemoth Microsoft entered the field with the PlayStation and Xbox.

When multiple platforms have overlapping user bases, there is a possibility of one platform provider to swallow the network of other providers. This is called as platform envelopment. One of the examples from the readings is RealNetworks whose business model was well suited to 2-sided network. Microsoft however tried enveloping Real by bundling Windows Media Player with its all-purpose NT server. Users preferred the offer of getting free music streaming and switched to Microsoft creating huge losses to Real. In order to survive envelopment, a firm can (1) Revamp its existing business model and offer services as a systems integrator, (2) Form alliances through partnerships and (3) Take legal course of action under antitrust laws (if

Primary assumptions to the theory include, high barriers to entry and exit, high sunk costs and imperfect knowledge of the market. In addition, this paper will analyze the company’s current standing in the market along with competitive strategies executed to grasp a greater portion of market share.

Microsoft is the software giant responsible for bringing Windows operating system to the PC (personal computer). Microsoft is also a known and well respected company in the global market. The tech giant has dominated the computer industry since 1981. Due to the nature of such a huge company, Microsoft has its hands in multiple markets. Microsoft currently competes in file hosting, software, operating systems, and gaming consoles. Unfortunately, each of the afore-mentioned markets differ from one another. For the purpose of this paper, the market that

In 1889, Fusajiro Yamauchi founded a small company in a building in the heart of Kyoto, Japan.(Nintendo History. n.d.) The company's purpose was to create a form of Japanese playing card called Hanafuda. He called this company Nintendo. Over the next century Nintendo grew and expanded, changing its products and services, and attempting new things as the times changed. Then, during the 1970s Nintendo fixed its eyes on a new market, video games. Nintendo showcases how a small card company can become a gaming powerhouse and a legend for companies and gamers alike.

Alot of people like video game, but don’t really think much about who came up with this and how did it get so popular well here are the answers to those questions. In 1972 Atari develops the very 1st video game Pong a table tennis like game.The game came in a console of its own you could not play anything on it but pong.Today pong seems like a pile of junk, but back in 1972 It was like the invention of the light bulb.Atari was the biggest company for 3 whole years until the competition came to rise.

Nintendo started as a small Japanese business by Fusajiro Yamauchi near the end of 1889 as Nintendo Koppai. Based in Kyoto, Japan, the business produced and marketed a playing card game called Hanafuda. In 1956, Nintendo’s president Hiroshi Yamauchi began to realize the limitation of playing cards business because it was viewed as a mere tool of gambling. In order to overcome the limitation, Nintendo struck a deal with Disney in 1959 which allowed them to put Disney characters on their playing cards. This opens up new markets where both children and homemakers started purchasing playing cards.5 Due to this success; Nintendo went public in 1962 and became a listed company in Osaka Stock Exchange. Soon after, Nintendo started to venture in

Even though the Nintendo Gamecube was not selling like the extremely popular Play Station 2, and the questionable design, the console was still popular. Many companies praised Nintendo for what they were trying to do saying that Nintendo was trying something abstract and unique (Kennley, D).

1) What are your group 's chosen IT market sector and TWO competing "public" companies that your group will base its ITMSA research? Why did you choose these two public companies? Please explain.

With the competition in the video games industry getting more intense, the next steps of the video game companies become more crucial for their positioning on the market. Due to the low product differentiation, the next market leader will be the platform provider that manages to offer an innovative gaming experience and a wider population of buyers that include all demographics. Although the industry is being totally dominated by Nintendo’s console, the industry is still considered to show a

Threat of New Entrants: In 2008, the threat of new entrants was not very high. Sony’s Playstation, Microsoft’s Xbox, and Nintendo’s gaming systems were

The product I have chosen to study is the Nintendo DS. This product is one of Nintendo’s most recently released games consoles. I will explain what the Nintendo DS does. It is a handheld games console that consists of a book like structure. It has a small LCD screen on each side. One is a touch screen and the other is a viewing screen. The console also incorporates a microphone and has Wi-Fi capabilities. This allows the user to operate the game by using a small stylus on the touch screen, it can also listen to voice commands and can be used with other players if utilising the Wi-Fi feature. Nintendo is one of the world’s most globally recognised brands. It was founded in Kyoto, Japan in 1889. What it developed in those

other features that made it the best selling in the world. As for the Kinect; introduced by

Global Video Game Console Industries must try to maintain a sustainable competitive advantage through innovation such as creating an upgraded version of the game every year or increase their on and off line presence to better satisfy their customers. There are many competitors in the Video Game industry that include PlayStation 3, Xbox 360 and Wii. These gaming consoles compete in terms of price, durability and loyalty. With Intensity Rivalry being a major determinant of competitiveness, video game companies work towards dominating the industry as well as gaining the major part of the industry profit pool. (Blackwell, 2002)

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