Strategy Used
Nintendo has remained competitive in the market by offering the most inexpensive eighth
generation gaming consoles. While the Playstation and Xbox both sale for over $300, the Wii
sells for $200. This meets porter’s first generic strategy to overcome the five forces of overall
cost leadership. Nintendo was also the first to enter the motion sensing game strategy. They were
the leader in unit sales by differentiating their product, making it unique and valuable. Nintendo
has also displayed focus on their product by continuously offering a family oriented gaming
system that can be played by anyone.
Ensuring Coherence in Strategic Direction
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Carlos Mera
Nintendo has created and sustained a competitive advantage by staying true to the
company’s mission statement which states
“At Nintendo we are proud to be working for the leading company in our
industry. We are strongly committed to producing and marketing the best products
and support services available. We believe it is essential not only to provide
products of the highest quality, but to treat every customer with attention,
consideration and respect. By listening closely to our customers, we constantly
improve our products and services.[Nin171]”
The company used the Ensuring Coherence in Strategic Direction strategy to motivate the
company to remain in competition with top sellers. In the mission statement Nintendo states “by
listening closely to our customers, we can constantly improve our products and services.” They
have accomplished this with the release of the Nintendo Switch. The Switch is “Nintendo’s
fastest selling console ever in many major markets.[Nin17]” Leaders that transcend the
popularity of their business or market are capable taking advantage of this strategy. A company
must have a strong leader that enforces and believe in their mission statement.
Resource View of Firm
The resource-based view of the firm suggest that internally and externally, the company
is growing and not threatened. Internally, the company has released unique and innovative games
like Super Mario Bros, Pokémon, and Zelda. These legendary games have created a rapport
amongst Nintendo’s loyal and original buyers. To satisfy these buyers Nintendo pleased their
fans with the Nintendo Switch which offered many of their original games. Externally, the Wii
was the leader of its generation with the introduction of interactive motion sensing. Even though
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Carlos Mera


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- Spring '13
- Hoffman,J
- Wii, Video game console, PlayStation 3, Xbox 360, Nintendo