Nintendo was introduced to the video game industry in 1985 only to become a great hit within the people of all age groups. It rejuvenated the gaming industry single-handedly. From the inception, the company was always on the run to improve its product technology while maintaining low price levels on the other. This strategy was well accepted by the general public that it catered to economical entertainment. Thus its sales have surged into millions within a short span of time. Recently it introduced Wii which has several advanced features with a built in wi-fi capability. The company is now on the plan for implementing a strategic marketing plan which would be most beneficial for its running in the future. (Anon., 2010).
Organizational background: Nintendo was originally a Japanese playing card company which introduced its entertainment system in U.S. Today, it has its presence in over 20 countries covering Asia Pacific, Europe and America. Its customers range from 5-120 years of age. Most of them however are youngsters. (Armstrong. M., 2006). The crucial part of Nintendo’s success was its perfect planning and timing. It released its gaming videos in 1985, when the whole video gaming industry crashed totally. (Cooper.R.G., 2001), (Anon., 2005).
This is similar to the research undertaken to identify aggressive competitor’s attacks on market leaders. According to the research, a competitor is said to be above-normal aggressive if he moves into new markets geographically, compete with leader’s brands, enter for the first time into the market and increase advertising expenditures.