Introduction
At the end of 2006:
Total revenue: 7.8 billion USD
Net worth: 1.4 billion USD
Employees: 3,768
?
1,400,000,000
3,768
=
371,549.89
History
Time of establishment: September 23rd, 1889
Location of establishment: Kyoto, Japan
Main product: Hanafuda ( a kind of manmade card )
Since 1975
Color TV
Game
Nintendo
GameCube
Game Boy
Nintendo 64
NES
SNES
Current
New Video Games:
Nintendo DS
Wii
Global Expansion
In local area
Drew on the experience of Atrai Company, and reached
an agreement with the Magnavox Company.
First video game platform ------ Magnavox Odyssey
Cooperated with Mitsubishi.
Color TV Games
In 1980, entered the US market.
Representative product: Tape-style video game
platform
Trouble: easy to crash
Solution: withdraw all stocks in stores
In 1983, re-entered the US market.
Representative product: FC Video Game Machine
Trouble: difficult to distinguish the authenticity
Solution: used “10NES” encryption system and
add the quality mark ------ “ Seal of Quality”
In 2002, entered and occupied the Chinese
market, and established iQue Ltd.
lower purchasing power
Two difficult issues
the pirate of games software
Solution:
Chinesize the original games and directly launch into
Chinese market.
Use the electronic flow way of semiconductor
memory card
SWOT Analysis
Strengths



Strong brand name
Robust growth
Debt free status
Weakness

Inventory shortage
SWOT Analysis
Opportunities


Changing demography of players
Growing demand for online gaming
Threats

Foreign currency fluctuation

Short products lifecycle
Industry Analysis


The real game players that use in the
entertainment are happened in the 8 century.
The first game console company Atari gave
birth in 1972, USA. Atari was a super star in
the game console industry at that time.
Industry Analysis


After 1985 most game players lost
heart of the game consoles. Nintendo
still persisted in original intention
Now so many big and famous
companies invested in the game
industry. It made the competition
incandesce.
Industry Analysis

The game industry are so famous in
the worldwide is that the good game
design and the advanced
technology.—We can see this point
from “Super Mario”
International Challenge

Sale the NES in New York Then
in whole America
Nintendo promises they will
sale this game in the limited
market at first and Nintendo
will purchase all the game
players which are can’t sale
any more.

Blockbuster
and Nintendo
don’t agree
with the
leasehold of TV
game
 Nintendo
Company
always prevents the
vendition of the Game
Genie
 Sony
and Nintendo give
up the CD periphery
design plan
Then Nintendo declare
to cooperate with
Philips to produce the
CD-ROM equipment to
confront with Sony.

European Commission passes
the law to forbid the
Nintendo company sale the
compatible admission to the
software companies in
Europe
Nintendo
Global
Competitor
Local
Competitors
SEGA
SONY
Microsoft
Life is a game !

Multinational video game software and hardware development company

Service Games of Japan

Found in 1940 as Standard Games, in Hawaii

The most popular brand in United States, in 1990

Withdrawal from the consumer console business in 2001
Life is a game !

Consoles:
Master System, Genesis/Mega Drive, Game Gear, Sega 32x, Sega CD,
Nomad, Sega Pico, Saturn, Dreamcast
SEGA’s withdrawal





the “Dreamcast” plan
Failed reason: lack of software support
Discontinued in March, 2001
consoles were still sold until 2006
Units sold: 10.6 million
SONY
Sony Computer Entertainment Inc.

A subsidiary of SONY, founded in November 16, 1993

Hold all SONY’s home console and handheld business

A developer and published of video games

Comprised of several subsidiaries

Consoles: PlayStation, PlayStation One, PlayStation 2, PlayStation Portable,
PlayStation 3
SONY

SONY’s first home console: PlayStation
Launched in December 3, 1994
Units sole: 102 million

PlayStation 2: the best-selling console in the world
Launched in March 4, 2004
Units sold: 140 million
SONY
PlayStation Portable




the first handheld console to use an Universal Media Disc(UMD)
large viewing screen, the Internet, Wi-Fi
Units sold: 41 million
Best-selling games: Grant theft auto “ Liberty City Stories”
SONY
PlayStation 3



Unified online gaming service: the PlayStation Network
The first Blue-ray 2.0-complaint Blue-ray player
Connect with PSP
SONY
PlayStation 3




Make an operating loss of US$1.97 billion in the fiscal year ending March 2007
Lose the leading position in home console
Success in 2008: the PS3’s matures and developers start pushing it
Units sold: 16.84 million
Microsoft
XBOX

Microsoft Corporation entered the global game market in 2001 with XBOX
To compete directly with Sony's PlayStation 2 and the Nintendo GameCube

Units sold: 24 million

Microsoft
XBOX360



changed the decline of Microsoft in game console domain
available in three configurations: "Arcade" ,"Premium" and "Elite“
the first current generation gaming console to surpass the 10 million in the
US
Microsoft
HALO Series



Owned and published by Microsoft Game Studios
the best first-person shooters on a video game console
the Microsoft Xbox's "killer app“
Short-term Recommendation:
•
Developing and broadening its software and service platform
Long-term Recommendation:
•
•
Join the network games field
occupy the Chinese market