What Is the defining business Essay Example for Free

What Is the defining bloodline EssayWhat is the defining business and economic characteristics of the exposure support console industry? ? Intensity of competition the competition in the video game industry is dramatically fierce. There ar three largest companies in this industry, which are Nintendo, Sony and Microsoft. Additionally, lots of companies have relatively high take aim of strength, for examplehigh technology and meet the social trend, which are able to compete in the securities industry place. ?Market size the target commercialize for the products cover all over the world ,however,the cumulate gross revenue in Europe, Japan and the U. S are higher compare to other regions. ?Influenced by global ceding back video game is not the necessary product, hence,the global economic recession have influenced the sale of video game products. The revenue declines 6% in 2010 compare to 2009, and also continued decreasing in 2011. ? harvest-tide rapidlythe video game indust ry have been growingrapidly, and also expected to continue growing in the future. What is the industry like? The companies in video game industry refer to provide high expert and innovative products.It includes online game, mobile game, video game console and handheld game. In addition, in order to pull back exist and potential consumers and build customer loyalty, these companies multiply their efforts to enhancethe technology of the products. Whats more, video game business sectorupdate very fast, the fresh generation replaced the old one in short period. Meanwhile, the companies launched latest production rapidly. However, an simply issue is that the target market is limited, young men are the majority part.What 3-5 key movers determine the succeeder of video game console developers like Nintendo (2009-2012)? 1. Unique concept of video game console In the original period, the video game companies tend to pay more attention to improving technology, which lead to less(prenomin al) market share and high competition, however, after a strategic research, Nintendo intend to create product specialization advantage over rivals, it avoid pursuing high-tech blindly, focusing on developing unique rifle of product, such as to allowed consumers to participate in the games by themselves.That characteristic fundament easily catch consumers attention. Having a unique and propriety concept is essential in video game console industry. 2. New market segment The video game market is almost saturatedhence, these game companies have to seek new target market to survive. In traditional video game console target market, men active the majority portion. In order to gain more profit, companies should take effort to attract more women, aged(a) and so on.In terms of extending market share, companies cant rely on a excellent proportion of population. Nintendo designed Wii not only just for men but also for the whole family, the game is very suitable for everyone 3. Technology capability High technology capability is a vital factor for game companies to be a leader in video game console industry it can provide more technical advantage over rivals. 4. Various range of productsIn todays world, people have relatively high demand of products, in order to satisfy the needs, it is necessary to incur diverse product to grab more market share. 5. Low cost Undeniably, reducing cost is an stiff way to make profit gain, low cost lead to low price, and low price are more acceptable by consumers.Reference Morris, C. (2011), Video Game Sales Drop 6% in 2010, Second Year of Declines, Online Available from http//www. cnbc. com/id/41062675/Video_Game_Sales_Drop_6_in_2010_Second_Year_of_Declines.