4.4.2Weakness Based upon Research, we noticed determining reading other SWOT Analysis on most marketing teacher website, such as manufacturer and supplier is mostly dependent on supply chain to run their sales. This means that if supplier are overseas then it might be difficult for an organization to manage supply chain, also business is exposed to currency fluctuations that may impact profit and economic-climate also impact staying overseas. Also there is a lack of single key element for whatever reason can be problem for Nintendo. Another Nintendo weakness states that Margins are very tight in gaming industry. As, we have heard that PlayStation-3 is manufactured and sold in loss at some point because of higher cost. Whereas, Game and Console manufacturer must ensure that their device is home for consumers. However, Nintendo’s margin per unit is low and that directly impact financial difficulty and marketing area. 4.4.3 Opportunity The game opportunity main opportunity lies in many new small, medium and large segments in different market place. Whereas, players are getting younger and older that gives opportunity for gaming industry. For example, as we know the average age of gamers in the New Zealand is now over 30-35 years old. We already mentioned, the Nintendo Wii gives the business entrance to many generations of gamers, regardless of income, class and culture. The gaming industry has far more opportunity to earn more income compared with movie industry, and this fact continue based upon consumer mind-set. In advance Nintendo Wii gaming today happens online. As we know more than 600 million people home will soon have access to internet. Which means that 600 million people are reason to make purchase over Nintendo product, potentially. Also organization has launched games that involve family member activities. Product having in build Wi-Fi will become popular.
Nintendo has become top priority, made competitively positioned offering based upon understanding and facts. 4.4.4 Threats There is not exact prediction that where entertainment industry will go next? As we know industry has migrated from TV and movies towards online gaming, there will be advanced and emerging technology in near future. We are not even ensure about consumer behaviour whether consumer, where consumer will swap from PlayStation to Xbox, to Nintendo and other gaming industry. Consumer choices and behaviour tend to change in future. Nothing is ever sustained in business, so this become threat for organization. Take an example from cell phone market in which consumer always wanted new product each year. There are lots of people changing their mobile phones on regular basis. This would be an example of very sharp and short customer life-cycles . This case directly linked towards gaming industry, in which consumer changing their preferences and also changing their games based upon popularity in market more quickly. Therefore, when product launch in market, there is some kind of replacement and substitute or options for consumers.
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- Summer '16
- Video game console, Nintendo, Nintendo Wii