This paper "Computer and Video Games Industry - Nintendo" focuses on the world video gaming industry that generated profits well over $24.5 Billion in the year 2006 and is still believed to be a growing and competitive industry as there are expectations that the sales will exceed $50 Billion marks during 2008. …
This industry posses a different dynamic situation and a new and unique business environment in which very few players tend to dominate both in software as well as hardware industry. Sony is supposed to be leading in the hardware industry through its Play Stations whereas Microsoft is a late entry into the hardware market through its own gaming console to rival Sony and other players. Based on such aggressive competition in the industry it can safely be assumed that this industry is not only growing but also pose a great challenge to the industry players to be more innovative and creative in presenting new and unique gaming themes to gain competitive advantages in the industry.
This study will explore the dynamics in the video industry and how it behaved in the past and what is its key drivers in the 2000s and how the industry develops into short to long-term with special emphasis on the software as well as hardware.
As outlined above that the video gaming industry is expected to generate a revenue target of more than $50 Billion in the current year, the expectations are that the industry will grow at least in the short run. A close look at that industry will suggest that it’s most avid users i.e. consumers are not just children but also include adults with the average age of the users ranges in 30 years pointing towards the diverse and vast customer base the industry is catering to. However, the key driver in the industry has always remained the innovation whether in the past or in the current 21st-century consumer market for the video games. As the industry has now emerged as a parallel entertainment industry to the Hollywood, therefore, it is now being more and more structured and sophisticated as far as the production and development of these games concerned.
This innovation and creativity further become complicated especially within the domain of the software when the developers of the games face hardware constraints such as faced by the Sony when its Play Station 2 Console restricted it to embark on the more creative and innovative software games to launch. ...
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