ibus 690 paper final

ibus 690 paper final - IBUS 690 I Introduction Nintendo was...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
IBUS 690 I Introduction Nintendo was founded in 1889, in Kyoto by Fusajiro Yamauchi. Originally, the company made playing cards for the game Hanafuda until 1956. Throughout the late 1950s and early-1960s Nintendo experimented in various areas in a vane attempt to expand into other sectors. These experiments included television and Love Hotels all of which failed. Then in 1966, Nintendo entered the Japanese toy market. Here, they tried to produce other video and family toy products with mild success. However, it was not until Nintendo released the arcade hit Donkey Kong that they began to become famous (Nintendo, http://www.wikipedia.org). Their Famicom system introduced in 1983 was immensely popular for a number of years and Nintendo was able to recreate this success with their next system the Super Family Computer (Super Famicom) which debuted in 1990. However, after that they were less successful with their Nintendo 64 and Nintendo Game Cube video gaming consoles. In the first week sales in Japan the Nintendo Game Cube was only able to sell, a mere 133,719 compared to PlayStation 2’s impressive 630,552 units (Ricciardi, 2001). This was in part due to Nintendo’s greed and their deviating from their previous strategies. First Nintendo with their Nintendo 64 system decided to go with cartridges instead of the then growing format of compact discs. This hurt a number of their alliances due to this decision. At the time, video game cartridges in Japan were extremely expensive and were often $90-$100 USD for one game. This is the main reason Dragon Quest VII the seventh entry to the insanely popular Dragon Quest series was made for the PlayStation instead of Nintendo even though all the previous incarnations of that series was on a Nintendo platform (Yuji Horii, 2001). Furthermore, the Nintendo GameCube was designed to use special mini discs instead of normal sized DVDs or CDs. This hurt them significantly since a large selling point of both Microsoft’s Xbox and Sony’s PlayStation 2 was the ability to play movies as well. Thus, Nintendo
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
disregarded their award winning formals and this greatly affected their profits. According to Nintendo’s 2003 financial report total assets were (in millions of yen) 1,085,519, which were down from their 2002 figure of 1,156,716. Furthermore, Nintendo’s net sales and net income decreased as well. (Nintendo Annual Report 2002, www.nintendo.com,). II Strategic Factors Nintendo has been both a successful game software and hardware company since the early 1980s. With the introduction of their infamous Family Computer (Famicom) in 1983, they opened up video gaming to a wider audience than arcades. By having a simple interactive system that both adults and children could easily play games. However, they strayed from this in the 1990s and early 2000s. However, once again Nintendo has become a success story by focusing on their core competencies. When Nintendo decided to launch their newest video game console the Wii, they took
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 12

ibus 690 paper final - IBUS 690 I Introduction Nintendo was...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online