Social Factor Video games are played predominantly by young males. The current social trend on the rise are non gamers who have no prior experience or interest in video games. The number of female gamers are also on the rise. Digital downloads and in-game purchasing is gradually becoming the norm. The Macroenvironment PESTLE Analysis (2/2) Technological Factor Technology has improved processor speed, visuals and memory capacity for gaming consoles. Disruptive innovation in the form of smartphones and tablets have significantly altered consumer lifestyles. Legal Factors
The legal issues faced by the industry are trademarks, copyrights, licensing, online ownership and demands of intellectual property. Environmental Factors The video game industry uses a lot of plastic and metal resources for its hardware. In the current era majority people are environmentally aware. Manufacturing game consoles creates non-biodegradable waste which is the byproduct of this industry. SWOT Analysis (1/2) STRENGTH ? Nintendo has Shigeru Miyamoto, the creator ? of Nintendo’s most successful game ? franchises and intellectual property. ? Low upfront costs ? WEAKNESSES
Console power weaknesses Limited selection of software for hardcore gamers. Brand name –Long perceived by the gaming community as a kid’s toy or for casual gamers. Shigeru Miyamoto may eventually retire from the gaming business. ? The Nintendo brand name is a world cultural icon synonymous with video games. ? Nintendo has past success with family ? gaming model ? Nintendo has had extensive experience in the video game industry. ? Uniqueness of hardware motion detection when it comes to the Nintendo Wii SWOT Analysis (2/2) OPPORTUNITIES ? ? ? ? The first to introduce motion technology in ? ideo games. The availability of technology Variety of multiple gaming platforms. Design games for novice and casual gamers ? including seniors and adults ? THREATS Sony and Microsoft are capable of mimicking and improvising on Nintendo’s technology. Disruptive innovation caused by Apple’s iPhone and iPad successful ventures in the mobile and smartphone market. Third party software developers choose to develop games for smartphones and Facebook due to lower cost of production and higher potential returns. Social media gaming on Facebook is gaining popularity amongst casual gamers.
The Essay on Video Games As A Outstanding Hobby
... not the majority of people play video games, gaming has become a major hobby and a huge factor in society and is no longer ... technology that enables more “realistic and immersive experiences for gamers.”(Stahl). Video games of all sorts are a 10-billion dollar industry and ... the basic NES which is short for Nintendo Entertainment System. As the gaming industry moved on so did I. Within the ...
Loss of potential customer due to limited sophisticated games selection for the hardcore gamers. Slow to adopt an online model for downloadable content and microtransactions on a wide scale for games on its systems. ? ? ? Porter’s 5 Forces Analysis Bargaining Power of suppliers HIGH COMPETITIVE RIVALRY Threat of New Entrants MEDIUM WITHIN THE INDUSTRY (HIGH) Threat of Substitute Products HIGH Bargaining Power of Buyers HIGH Video Games Industry (1985 – 2012) Image source: http://13plymouth. com/wp-content/uploads/2010/09/lifecycle. bmp Nintendo’s Key Success Factors (1/2)
Key Success Factors Definition: The combination of factors required to accomplish organisational business goals (Thebusinessdictionary, 2011) Nintendo’s Key Success Factors (2/2) • Dominance over the casual gamers and portable gaming market -In 2001 – 2006, Nintendo have a big share over the casual and mobile gamers market with the Nintendo Wii and Nintendo DS. • Pricing advantage -Nintendo’s consoles are more affordable than its competitors. • Strong brand name. -Nintendo is well known for its games including Super Mario, Pokemon and Zelda.
Analysis of Key Uncertainties • Rapid advancement of tablet and smartphone technology – Tablets and smartphone becoming more powerful • Uncertainty to the market size and potential returns • Other alternative forms of digital entertainment. -Facebook, digital platforms, Google +, internet TV, Apple TV Analysis of Future Trends (1/5) • Increase in social networking, mobile and digital markets – Social networking platforms become more popular. -Availability of cheap or free games for download on digital platforms, ie iTunes and Facebook. Smartphones and other mobile devices Will penetrate into Nintendo’s market share Analysis of Future Trends (2/5) • Tablets as the next generation of console games -The gaming industry will drive the evolution of technology for tablets. -Apple is already using games to promote and sell its iPads -Developers viewing tablets as the ideal foundation for developing games Analysis of Future Trends (3/5) Analysis of Future Trends (4/5) •
The Term Paper on Toys and Games
The Toys and Games industry is one of the most adaptable and creative enterprise businesses that outlined a wide scope of products for younger children as well as slightly older children. An increasing market of children toys and games have grown over the last several years to producing intriguing products that satisfies parents both on prices and technology. The toy and gaming industry has grown ...
Shift into games-as-a-service model -Games are evolving to become a service. -More social games and virtual worlds are created to fill in market space. Subscription base models,in-game Purchases and premium membership Memberships, virtual goods and microtransactions will become the revenue streams for such games. In-game purchases (3/5) Analysis of Future Trends (4/5) • Slowed growth of traditional game retailing and publishing -Console game manufacturers will continue to decline in sales in both hardware and software -Traditional retail game stores will gradually exit the market. -Gaming giants will produce their final console (8th generation) before going completely digital. Analysis of Future Trends (5/5)
Emergence of digital content and new publishing models -Third-party software developers such as Ubisoft and Electronic Arts will concentrate on developing games for the mass market and serious market. -Business models for gaming will change. Scenario Themes: Pokemon Evolution Scenario Themes and Implications (1/7) Scenario Theme 1: Pokemon Evolution – The market for digital contents and games grow rapidly – Increasing trend in casual gaming – Smartphone and tablets become a popular gaming platform -Third party game developers (Ubisoft and Electronic Arts choose to develop games for Digital platforms, i. . Apple iTunes) – Perception of console games as being too costly to develop for Scenario Themes and Implications (2/7) Strategic Implications of scenario -Nintendo need to adapt and change its existing model to fit the trends. -Include a digital platform for casual gamers to access their vast library of affordable or free games. -Redesign existing popular franchises (i. e. Mario) to suit the casual gamers market -Create new games that appeal to the casual gamers -Design a console that attracts both casual gamers and existing gamers. Scenario Themes 2: Link Scenario Themes and Implications (3/7)
The Essay on Effect of Playing Computer Games among Pupils
CHAPTER I INTRODUCTION Today computer games have become a popular source of entertainment especially to the younger generation. Computer games are even now having their own worldwide professional gaming league. This has proved that nowadays the society worldwide has accepted computer games seriously. The popularity of computer games has also inspired numerous researches being conducted to study ...
Scenario Theme 2: Link -Trend for casual gamers growing but not as fast. – Existing digital platforms (i. e. iTunes) are flooded with low-quality, no brainer games. – Existing games on smartphones and social media lack the sophistication of console games. – Many third-party game developers are -Still uncertain of the new revenue model. Scenario Themes and Implications (4/7) Strategic Implication of Scenario – Nintendo to protect its reputation for producing quality games. – Leverage on its brand assets by making their games available across various platforms including social media, iPhone, iPad and smartphones. Spread brand awareness of its games to gradually win casual gamers over as Nintendo fans. Nintendo’s Popular Game Franchises (5/7) Scenario Themes and Implications(6/7) Scenario Theme 3: Bob-omb – Video game console industry continues to decline and traditional retail and online game shops dies off. – Tablet technology catches up to the performance of game consoles. – Popularity of casual games and gamers increase . – The revenue generated attracts well-known third party game developers. – More quality games are produced for the smartphone, social media and other digital platforms
