Case 2 Nintendo BUS 750.docx - Armando Zapata ID 0815165 BUS 750-11 Instructor Nicholas Matthew Case#2 \u2013 Nintendo I am on Journey \u2026 A Mission to

Case 2 Nintendo BUS 750.docx - Armando Zapata ID 0815165...

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Armando Zapata ID# 0815165 BUS 750-11 Instructor: Nicholas Matthew Case #2 – Nintendo: I am on Journey … A Mission to Save Mario! Fall A7 December 4 th , 2019
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(a) Overview of major issues Nintendo was not fully transparent with its console sales and its per unit sales, causing its days to be numbered Nintendo never had the foresight to look ahead at changing trends and adapt accordingly. The company’s lack of presence in the mobile device segment didn’t allow for them to capitalize in an industry that still has plenty of room to grow Nintendo has not been willing to make the necessary tweaks to its business model in order to capture more or keep its current market share from its competitors The company completely neglected the “Free-to-Play” market, and overestimated the Wii U console (a) Applications of key themes Nintendo is not and has not been in a good spot for a few years now, and it seems that its days as the once only gaming giant in the industry are numbered. The gaming stalwart has been in a rough patch for several years now, with consistent declines in sales across its product offerings, but specifically with its Nintendo Wii, which was once one of the most noteworthy products in its portfolio. Below you will see a graph that shows Nintendo’s home game consoles have sold less and less as the years have gone by. More starkly, the incredibly successful Wii – Nintendo’s most successful home game console by far seems to be an outlier. What this chart suggests is that Nintendo isn’t the dominant force it once was in gaming hardware, and that those glory days of the mid-1980s may never return. Surprisingly though, the decline in Nintendo’s popularity hasn’t been primarily due to pivotal mistakes that the company had made in terms of changing its strategy for the long-term in certain key moments over the last 2 decades when demographics and consumer dynamics have drastically changed. Its decline has been a combination of competition, technology, and its inability to monitor and identify changing trends within the gaming industry. For sure, Apple is one of the main players responsible for
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stealing market share from Nintendo, with the introduction of the iPhone and other mobile products in a successful attempt to penetrate the market. Still, one would think that a company with such a stellar track record particularly towards the end of the previous century would have the ability to pivot form its previous business model and implement one that is catered to today’s industry dynamics and social norms. Today, it would almost appear as if Nintendo is trying to leverage its past success to remediate its current failure. Hurt by three straight years of operating losses, according to an article by the Wall Street Journal in 2014, Nintendo is looking to Link, Mario, and other beloved videogame characters to help resuscitate its brand image. The issue with this strategy is that it demonstrates an inability to accept certain realities and a stubbornness
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