Case#1 - Nintendo's Distruptive Strategy

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Case#1 - Nintendo's Distruptive Strategy

Post  Tamis Wang on Thu Sep 01, 2011 1:35 pm


This is really a challenge for me since I seldom play video games.
Up till now, haven't finished reading all the pages of case 1. But target to tackle this assignment NOW. scratch

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A new world of mine, never knew such details of video game world

Post  mandiani on Thu Sep 01, 2011 4:02 pm

I asked various questions with my colleague, he is a big video game fan. But didn't find the evidence I am looking for, still suffering with my questions and try to make an outline.

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The Same Feeling

Post  Ye Tian_2011960932 on Thu Sep 01, 2011 4:39 pm

Tamis Wang wrote:
This is really a challenge for me since I seldom play video games.
Up till now, haven't finished reading all the pages of case 1. But target to tackle this assignment NOW. scratch

I have finished reading case 1, however, I need to shape outline of the case analysis before starting to write. The remaining time is probably not sufficient for me before the course, since I need to check some supporting details to fulfill the written case assignment for case 1. It's really challenging! scratch

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Early Memory for Nintendo Video Game

Post  Ye Tian_2011960932 on Thu Sep 01, 2011 5:02 pm

mandiani wrote:I asked various questions with my colleague, he is a big video game fan. But didn't find the evidence I am looking for, still suffering with my questions and try to make an outline.

The memory for Nintendo has taken me back to the early childhood, like Super Mario Bros. I really don't know about more situation recently for Nintendo, such as the market share in China. I need to do some investigation from the case and other reference before I can form a clear view and evaluation. Question

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Re: Case#1 - Nintendo's Distruptive Strategy

Post  kevinzhang on Thu Sep 01, 2011 5:37 pm

Comparing with Sony PS3 and Microsoft Xbox360, what Nintendo trying to do is to expand the console game user group and try to make the video game more fun, not too professional and specific. This is an innovation in both product and service model.

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Nintendo's Another Creavitity

Post  Ye Tian_2011960932 on Thu Sep 01, 2011 6:36 pm

kevinzhang wrote:Comparing with Sony PS3 and Microsoft Xbox360, what Nintendo trying to do is to expand the console game user group and try to make the video game more fun, not too professional and specific. This is an innovation in both product and service model.

I think Nintendo's another creativity is to expand the potential consumers from existing players(e.g. teenager) to few- or non-gamers, when Microsoft and Sony were focusing on the sophistication of interface of their product. In addition, Nintendo has also sensed the trend of consumers' intention to lead a healthy live. These two aspects have been synthesized to contribute to the new product strategy, like wand-like controller, which can provide another interesting life style for both consumers' entertainment and sport need.

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Re: Case#1 - Nintendo's Distruptive Strategy

Post  Jindong on Thu Sep 01, 2011 7:28 pm

davidye1980 wrote:
kevinzhang wrote:Comparing with Sony PS3 and Microsoft Xbox360, what Nintendo trying to do is to expand the console game user group and try to make the video game more fun, not too professional and specific. This is an innovation in both product and service model.

I think Nintendo's another creativity is to expand the potential consumers from existing players(e.g. teenager) to few- or non-gamers, when Microsoft and Sony were focusing on the sophistication of interface of their product. In addition, Nintendo has also sensed the trend of consumers' intention to lead a healthy live. These two aspects have been synthesized to contribute to the new product strategy, like wand-like controller, which can provide another interesting life style for both consumers' entertainment and sport need.

Actually the fact that MS and Sony continued with the preivous strategy of inceasing the product performance could be called micro-innovation behaviour, which could be valid at the beginning of each product phase. However, when the market is relatively matured and increasing slowly, Nitendo's disruptive strategy, repositioning the market, could be more functioning since it refreshed and expended the market volume, like what Apple have done in the intelligent mobile device and the upcoming intelligent TV.
In addition, Nitendo's well established implementation system should contribute much to its success. On the contrary, Sony's released PS2 with richer features, however it reported a loss due to its power supply system and product quality system.

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Re: Case#1 - Nintendo's Distruptive Strategy

Post  Song Lihui on Thu Sep 01, 2011 8:55 pm

davidye1980 wrote:
kevinzhang wrote:Comparing with Sony PS3 and Microsoft Xbox360, what Nintendo trying to do is to expand the console game user group and try to make the video game more fun, not too professional and specific. This is an innovation in both product and service model.

I think Nintendo's another creativity is to expand the potential consumers from existing players(e.g. teenager) to few- or non-gamers, when Microsoft and Sony were focusing on the sophistication of interface of their product. In addition, Nintendo has also sensed the trend of consumers' intention to lead a healthy live. These two aspects have been synthesized to contribute to the new product strategy, like wand-like controller, which can provide another interesting life style for both consumers' entertainment and sport need.

This is due to Iwata's correct insight into the market at that time: video game industry in Japan is shrinking, game console became more complicated which require users to pay more time to learn and to play, the complicated game and bottons both stopped the occasional gamers but also scared novices and non-gamers. This is quite big potential market. Nintendo's strategy successfully took the share.

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Re: Case#1 - Nintendo's Distruptive Strategy

Post  dnwei0302 on Thu Sep 01, 2011 9:01 pm

Tamis Wang wrote:
This is really a challenge for me since I seldom play video games.
Up till now, haven't finished reading all the pages of case 1. But target to tackle this assignment NOW. scratch

I believe that the very first step of Microsoft is KINECT. It takes a part of WII' market. It is more likely an update version of WII.
Therefore, we can conclude that the core idea is not so hard to copy.
For the further perception, NINTENDO also need focus on how to keep its share by more profitable and attrative game and to provide fancy experience what the customer may even not noticed yet.

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Re: Case#1 - Nintendo's Distruptive Strategy

Post  Song Lihui on Thu Sep 01, 2011 9:17 pm

Jindong wrote:
davidye1980 wrote:
kevinzhang wrote:Comparing with Sony PS3 and Microsoft Xbox360, what Nintendo trying to do is to expand the console game user group and try to make the video game more fun, not too professional and specific. This is an innovation in both product and service model.

I think Nintendo's another creativity is to expand the potential consumers from existing players(e.g. teenager) to few- or non-gamers, when Microsoft and Sony were focusing on the sophistication of interface of their product. In addition, Nintendo has also sensed the trend of consumers' intention to lead a healthy live. These two aspects have been synthesized to contribute to the new product strategy, like wand-like controller, which can provide another interesting life style for both consumers' entertainment and sport need.

Actually the fact that MS and Sony continued with the preivous strategy of inceasing the product performance could be called micro-innovation behaviour, which could be valid at the beginning of each product phase. However, when the market is relatively matured and increasing slowly, Nitendo's disruptive strategy, repositioning the market, could be more functioning since it refreshed and expended the market volume, like what Apple have done in the intelligent mobile device and the upcoming intelligent TV.
In addition, Nitendo's well established implementation system should contribute much to its success. On the contrary, Sony's released PS2 with richer features, however it reported a loss due to its power supply system and product quality system.

Maybe to some extent, Sony and Microsoft is far too ahead of the video game industry or consumer demand, maybe the market is not really prepared. I have checked the selling figure until today, found that total selling figure of Sony PS+PS2+PS3+PSP has exceeded the total sales of Nintendo DS+Wii. Sony and Microsoft keep on pursuing strong computer power to get faster and extra high defination quality, which as we can see today, is a MUST. The slow action of Nintendo on its 3DS console has greatly hit its performance on stock exchang market, and it has been a long hard time for Nintendo on the stock exchange market. Maybe we can see something out of this.

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Re: Case#1 - Nintendo's Distruptive Strategy

Post  SUNNY GAO on Thu Sep 01, 2011 11:46 pm

davidye1980 wrote:
kevinzhang wrote:Comparing with Sony PS3 and Microsoft Xbox360, what Nintendo trying to do is to expand the console game user group and try to make the video game more fun, not too professional and specific. This is an innovation in both product and service model.

I think Nintendo's another creativity is to expand the potential consumers from existing players(e.g. teenager) to few- or non-gamers, when Microsoft and Sony were focusing on the sophistication of interface of their product. In addition, Nintendo has also sensed the trend of consumers' intention to lead a healthy live. These two aspects have been synthesized to contribute to the new product strategy, like wand-like controller, which can provide another interesting life style for both consumers' entertainment and sport need.

The revolution of motion sensors on Nintendo's Wii is just like a double-edge sword, it has controbuted to expand the consumers to non-gamers who use it for a healthy life, but it will also lose part of the mainstream consumer - the gamer who pursuing high-quality graphics and increasingly complex gameplay;
And the fatal fact is that for the non-gamers who use wii for a healthy life can easily find another replacement to keep their healthy life, playing games with Wii is just one of their choices, so these cuonsumers are non-stable, they will be interested in it for a peroid, but can not last for long;

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Re: Case#1 - Nintendo's Distruptive Strategy

Post  jiyaqing1213 on Fri Sep 02, 2011 12:09 am

SUNNY GAO wrote:
davidye1980 wrote:
kevinzhang wrote:Comparing with Sony PS3 and Microsoft Xbox360, what Nintendo trying to do is to expand the console game user group and try to make the video game more fun, not too professional and specific. This is an innovation in both product and service model.

I think Nintendo's another creativity is to expand the potential consumers from existing players(e.g. teenager) to few- or non-gamers, when Microsoft and Sony were focusing on the sophistication of interface of their product. In addition, Nintendo has also sensed the trend of consumers' intention to lead a healthy live. These two aspects have been synthesized to contribute to the new product strategy, like wand-like controller, which can provide another interesting life style for both consumers' entertainment and sport need.

The revolution of motion sensors on Nintendo's Wii is just like a double-edge sword, it has controbuted to expand the consumers to non-gamers who use it for a healthy life, but it will also lose part of the mainstream consumer - the gamer who pursuing high-quality graphics and increasingly complex gameplay;
And the fatal fact is that for the non-gamers who use wii for a healthy life can easily find another replacement to keep their healthy life, playing games with Wii is just one of their choices, so these cuonsumers are non-stable, they will be interested in it for a peroid, but can not last for long;

I agree with you partly. First of all, the amnout of non-gamers is much bigger than the mainstream gamers; secondly, Nintendo' fans will always be Nintendo's fans. That's the reason, why Wii could get the around 50% market share until now even with such bad graphics quality. The problem for WII now is, Sony and MS already launched or will launch similar feature for Xbox360 and PS3, what will attrac the current gamers of WII to other consoles, since both Xbox360 and PS3 have much better graphics performance. Nintendo needs new attractive feasture urgently to keep the gamser in the group.

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Re: Case#1 - Nintendo's Distruptive Strategy

Post  luoli on Fri Sep 02, 2011 1:09 am

jiyaqing1213 wrote:
SUNNY GAO wrote:
davidye1980 wrote:
kevinzhang wrote:Comparing with Sony PS3 and Microsoft Xbox360, what Nintendo trying to do is to expand the console game user group and try to make the video game more fun, not too professional and specific. This is an innovation in both product and service model.

I think Nintendo's another creativity is to expand the potential consumers from existing players(e.g. teenager) to few- or non-gamers, when Microsoft and Sony were focusing on the sophistication of interface of their product. In addition, Nintendo has also sensed the trend of consumers' intention to lead a healthy live. These two aspects have been synthesized to contribute to the new product strategy, like wand-like controller, which can provide another interesting life style for both consumers' entertainment and sport need.

The revolution of motion sensors on Nintendo's Wii is just like a double-edge sword, it has controbuted to expand the consumers to non-gamers who use it for a healthy life, but it will also lose part of the mainstream consumer - the gamer who pursuing high-quality graphics and increasingly complex gameplay;
And the fatal fact is that for the non-gamers who use wii for a healthy life can easily find another replacement to keep their healthy life, playing games with Wii is just one of their choices, so these cuonsumers are non-stable, they will be interested in it for a peroid, but can not last for long;

I agree with you partly. First of all, the amnout of non-gamers is much bigger than the mainstream gamers; secondly, Nintendo' fans will always be Nintendo's fans. That's the reason, why Wii could get the around 50% market share until now even with such bad graphics quality. The problem for WII now is, Sony and MS already launched or will launch similar feature for Xbox360 and PS3, what will attrac the current gamers of WII to other consoles, since both Xbox360 and PS3 have much better graphics performance. Nintendo needs new attractive feasture urgently to keep the gamser in the group.

Nice point of entry. I agree that the great success of Wii is to catch on non-gamers, who are attracted by its easy-to-use controller and fun games, but as mentioned, not as loyal as mainstream consumers. I believe that plenty of so called non-games have turned to hug iphone or ipad recently. Whether Wii will be sustained successful or not, I admire Nintendo's courage on innovative strategy and I'd like to attribute the guide of success to the new president, Satoru Iwata. Iwata to Nintendo is like Jobs to Apple. A great leader sometimes can change the fate of a company, sometimes even the direction of a industry.

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Re: Case#1 - Nintendo's Distruptive Strategy

Post  qiuhao2222 on Sat Sep 03, 2011 12:32 am

davidye1980 wrote:
mandiani wrote:I asked various questions with my colleague, he is a big video game fan. But didn't find the evidence I am looking for, still suffering with my questions and try to make an outline.

The memory for Nintendo has taken me back to the early childhood, like Super Mario Bros. I really don't know about more situation recently for Nintendo, such as the market share in China. I need to do some investigation from the case and other reference before I can form a clear view and evaluation. Question

Did u remember Nintendo's FC(shorted for Family Computer)? We also called it "Red and white machine". This is the first video game console in my memory.

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Re: Case#1 - Nintendo's Distruptive Strategy

Post  qiuhao2222 on Sat Sep 03, 2011 12:58 am

luoli wrote:
jiyaqing1213 wrote:
SUNNY GAO wrote:
davidye1980 wrote:
kevinzhang wrote:Comparing with Sony PS3 and Microsoft Xbox360, what Nintendo trying to do is to expand the console game user group and try to make the video game more fun, not too professional and specific. This is an innovation in both product and service model.

I think Nintendo's another creativity is to expand the potential consumers from existing players(e.g. teenager) to few- or non-gamers, when Microsoft and Sony were focusing on the sophistication of interface of their product. In addition, Nintendo has also sensed the trend of consumers' intention to lead a healthy live. These two aspects have been synthesized to contribute to the new product strategy, like wand-like controller, which can provide another interesting life style for both consumers' entertainment and sport need.

The revolution of motion sensors on Nintendo's Wii is just like a double-edge sword, it has controbuted to expand the consumers to non-gamers who use it for a healthy life, but it will also lose part of the mainstream consumer - the gamer who pursuing high-quality graphics and increasingly complex gameplay;
And the fatal fact is that for the non-gamers who use wii for a healthy life can easily find another replacement to keep their healthy life, playing games with Wii is just one of their choices, so these cuonsumers are non-stable, they will be interested in it for a peroid, but can not last for long;

I agree with you partly. First of all, the amnout of non-gamers is much bigger than the mainstream gamers; secondly, Nintendo' fans will always be Nintendo's fans. That's the reason, why Wii could get the around 50% market share until now even with such bad graphics quality. The problem for WII now is, Sony and MS already launched or will launch similar feature for Xbox360 and PS3, what will attrac the current gamers of WII to other consoles, since both Xbox360 and PS3 have much better graphics performance. Nintendo needs new attractive feasture urgently to keep the gamser in the group.

Nice point of entry. I agree that the great success of Wii is to catch on non-gamers, who are attracted by its easy-to-use controller and fun games, but as mentioned, not as loyal as mainstream consumers. I believe that plenty of so called non-games have turned to hug iphone or ipad recently. Whether Wii will be sustained successful or not, I admire Nintendo's courage on innovative strategy and I'd like to attribute the guide of success to the new president, Satoru Iwata. Iwata to Nintendo is like Jobs to Apple. A great leader sometimes can change the fate of a company, sometimes even the direction of a industry.

I think that Apple will be the biggest competitor to Nintendo in the video game industry in the near future. Its product iphone or ipad also familiar all over the world these years. Apple's concept is also easy to use, its customer group is from 2 years old to **years old. The game such as Angry Bird is not complicated but very popular.

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software side

Post  danni99 on Sat Sep 03, 2011 12:55 pm

Wii encourage plapyers to keep moving, which was unique concept in the house hold vide game. But simply a machine with motion sensor can easily be copied by competitors. Allowing other game software producers to distribute games for Wii, my understanding, was to sustain Wii players loyalty/curiosity to Wii, and to build up higher entry barrier for potential imitator.

qiuhao2222 wrote:
luoli wrote:
jiyaqing1213 wrote:
SUNNY GAO wrote:
davidye1980 wrote:
kevinzhang wrote:Comparing with Sony PS3 and Microsoft Xbox360, what Nintendo trying to do is to expand the console game user group and try to make the video game more fun, not too professional and specific. This is an innovation in both product and service model.

I think Nintendo's another creativity is to expand the potential consumers from existing players(e.g. teenager) to few- or non-gamers, when Microsoft and Sony were focusing on the sophistication of interface of their product. In addition, Nintendo has also sensed the trend of consumers' intention to lead a healthy live. These two aspects have been synthesized to contribute to the new product strategy, like wand-like controller, which can provide another interesting life style for both consumers' entertainment and sport need.

The revolution of motion sensors on Nintendo's Wii is just like a double-edge sword, it has controbuted to expand the consumers to non-gamers who use it for a healthy life, but it will also lose part of the mainstream consumer - the gamer who pursuing high-quality graphics and increasingly complex gameplay;
And the fatal fact is that for the non-gamers who use wii for a healthy life can easily find another replacement to keep their healthy life, playing games with Wii is just one of their choices, so these cuonsumers are non-stable, they will be interested in it for a peroid, but can not last for long;

I agree with you partly. First of all, the amnout of non-gamers is much bigger than the mainstream gamers; secondly, Nintendo' fans will always be Nintendo's fans. That's the reason, why Wii could get the around 50% market share until now even with such bad graphics quality. The problem for WII now is, Sony and MS already launched or will launch similar feature for Xbox360 and PS3, what will attrac the current gamers of WII to other consoles, since both Xbox360 and PS3 have much better graphics performance. Nintendo needs new attractive feasture urgently to keep the gamser in the group.

Nice point of entry. I agree that the great success of Wii is to catch on non-gamers, who are attracted by its easy-to-use controller and fun games, but as mentioned, not as loyal as mainstream consumers. I believe that plenty of so called non-games have turned to hug iphone or ipad recently. Whether Wii will be sustained successful or not, I admire Nintendo's courage on innovative strategy and I'd like to attribute the guide of success to the new president, Satoru Iwata. Iwata to Nintendo is like Jobs to Apple. A great leader sometimes can change the fate of a company, sometimes even the direction of a industry.

I think that Apple will be the biggest competitor to Nintendo in the video game industry in the near future. Its product iphone or ipad also familiar all over the world these years. Apple's concept is also easy to use, its customer group is from 2 years old to **years old. The game such as Angry Bird is not complicated but very popular.

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Re: Case#1 - Nintendo's Distruptive Strategy

Post  690212fd on Sat Sep 03, 2011 10:57 pm

The result of Nintendo's Wii success shouldn’t be what I will care about too much. it is just how did Nintendo achieve the goal and temporarily won the business competition in the video game.... what I need to think is that Nintendo's success procedure can be copied or referred to other industry which have very different business environment?
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Re: Case#1 - Nintendo's Distruptive Strategy

Post  danni99 on Sat Sep 03, 2011 11:38 pm

You suggested a very good point!!

i just submitted my case study report minutes ago and i listed the several sucess factors that brought to Wii's birth. But the very first step was Iwata's different vision of the industry. He sensed the threat from market shrinking and made a creative decision to create a market segment in video game market which targets the non-gamers. The strategy later kept Nintendo away (of course, tempararily) from the over heated competition in the existing market segment.

For other industry, the innovative thinking when making a strategy can also be copied. The Coke, for example, they started to produce various beverages after their President said something like 'our market share is already very high, but what's the percentage of our product in a man's stomach'

But to be frank,I do think this kind of strategy implies super high risks and needs guts, (of course we are having innovation class we are expected to be risk taker), so risk assessment and market survey before implementation is necessary.

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Re: Case#1 - Nintendo's Distruptive Strategy

Post  zhaoliang on Sun Sep 04, 2011 12:33 am

The success of PS2 depend on personal game quality, so I think Sony should still insist on its personal characteristic, proceed to develop its electrical entertainment , maybe you will still remember when SONY launch PSP in market to develop its handheld game console, Nintendo also tried to use NGC to this market but failed. Why? Because Nintendo changed its root of electrical toy, and Nintendo went into one field he cannot control very well. So I believe Sony don’t need to go along Nintendo’s characteristic, it need still proceed use its game special quality to attract gamer, people have one process from toy to entertainment, when simple visual which wii use cannot attach gamers’ request, the gorgeous video and high content high quality game from PS3 will make gamer come back from aesthetic fatigue to exciting state.
SUNNY GAO wrote:
davidye1980 wrote:
kevinzhang wrote:Comparing with Sony PS3 and Microsoft Xbox360, what Nintendo trying to do is to expand the console game user group and try to make the video game more fun, not too professional and specific. This is an innovation in both product and service model.

I think Nintendo's another creativity is to expand the potential consumers from existing players(e.g. teenager) to few- or non-gamers, when Microsoft and Sony were focusing on the sophistication of interface of their product. In addition, Nintendo has also sensed the trend of consumers' intention to lead a healthy live. These two aspects have been synthesized to contribute to the new product strategy, like wand-like controller, which can provide another interesting life style for both consumers' entertainment and sport need.

The revolution of motion sensors on Nintendo's Wii is just like a double-edge sword, it has controbuted to expand the consumers to non-gamers who use it for a healthy life, but it will also lose part of the mainstream consumer - the gamer who pursuing high-quality graphics and increasingly complex gameplay;
And the fatal fact is that for the non-gamers who use wii for a healthy life can easily find another replacement to keep their healthy life, playing games with Wii is just one of their choices, so these cuonsumers are non-stable, they will be interested in it for a peroid, but can not last for long;

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Re: Case#1 - Nintendo's Distruptive Strategy

Post  cave2368 on Sun Sep 04, 2011 12:55 am

I play WE on PS3 just now. To be honestly, as the Fan of PS series, PS3 is totally a backforward. The PS2's success is mainly based on its largest software games. But i also think Sony will stick with his original way to keep the faithful player such as me. The market is large enough for him to support the subsistence and expand. what he needs to do is try to add some new concept into PS which like Wii design. it's not very difficult for him. And in 2011 E3, the outline of PS vista and WiiU is a little similar. hehe
zhaoliang wrote:The success of PS2 depend on personal game quality, so I think Sony should still insist on its personal characteristic, proceed to develop its electrical entertainment , maybe you will still remember when SONY launch PSP in market to develop its handheld game console, Nintendo also tried to use NGC to this market but failed. Why? Because Nintendo changed its root of electrical toy, and Nintendo went into one field he cannot control very well. So I believe Sony don’t need to go along Nintendo’s characteristic, it need still proceed use its game special quality to attract gamer, people have one process from toy to entertainment, when simple visual which wii use cannot attach gamers’ request, the gorgeous video and high content high quality game from PS3 will make gamer come back from aesthetic fatigue to exciting state.
SUNNY GAO wrote:
davidye1980 wrote:
kevinzhang wrote:Comparing with Sony PS3 and Microsoft Xbox360, what Nintendo trying to do is to expand the console game user group and try to make the video game more fun, not too professional and specific. This is an innovation in both product and service model.

I think Nintendo's another creativity is to expand the potential consumers from existing players(e.g. teenager) to few- or non-gamers, when Microsoft and Sony were focusing on the sophistication of interface of their product. In addition, Nintendo has also sensed the trend of consumers' intention to lead a healthy live. These two aspects have been synthesized to contribute to the new product strategy, like wand-like controller, which can provide another interesting life style for both consumers' entertainment and sport need.

The revolution of motion sensors on Nintendo's Wii is just like a double-edge sword, it has controbuted to expand the consumers to non-gamers who use it for a healthy life, but it will also lose part of the mainstream consumer - the gamer who pursuing high-quality graphics and increasingly complex gameplay;
And the fatal fact is that for the non-gamers who use wii for a healthy life can easily find another replacement to keep their healthy life, playing games with Wii is just one of their choices, so these cuonsumers are non-stable, they will be interested in it for a peroid, but can not last for long;

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Some ideas for sharing

Post  mandiani on Mon Sep 05, 2011 3:18 pm

I have some updated information for Nintendo to show that their market shrinking situation. Just for references.
The disruptive strategy could explore the market, but the advantages didn't last for long. Other competitors are chasing the trends.(The comparison of PS3, 3DS, Xbox 360)

And I always think that the software problem of Nintendo is going to be a crucial factor to reserve its loyal player. (Number of Software Titles Released)
Also Nintendo's sales situation for its new product 3DS is not prosperous (Consolidated Sales Transition by Region)
If I was IWAKA, I will think about split Nintendo to 2 companies, one for product, one for software development. Then Nintendo can develop their best sell software in other console or handed held game to get more profit. Meanwhile to open the channel for 3rd party game makers, provide a more free platform and maybe provide more commission to attract them. Eventually, for a game company, to keep the extended market in a longer term, the focus should still be put on a various choice of game. (Consolidated Sales Transition by Region)
Tips:
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Re: Case#1 - Nintendo's Distruptive Strategy

Post  fanbingrui on Tue Sep 06, 2011 1:07 pm

Nice point to connect Apple and Nintendo. Actually what Apple was doing was to change phone with entertainment function to a console with calling function. To be a follower or to be a competitior. I think both of them are not the CEO of Nintendo want. The third way can be in several dimentions. By the coming era of 3D, even 4D, the customers' experience can be amplified significantly. While the by-product game of certian popular movie can be created. The games can be specially designed for children on intelligent exploitationpurpose, white-collar on pressure release purpose, familly on happy weekend purpose, for girls, for boys, for old people even. While supper cheap console with basic function for poor areas like Africa can also be developed.

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Strategy and creativity

Post  taylor.yuan on Wed Sep 07, 2011 3:43 pm

Agree with you.Nintendo CEO found home game was a new market which other companies havent`t take attention. Nintendo combined playing game with sports, and took customer needed marketing strategy. All in all, if Nintendo keeps to develop creativity and innovation, I believe it will have a better future.

danni99 wrote:You suggested a very good point!!

i just submitted my case study report minutes ago and i listed the several sucess factors that brought to Wii's birth. But the very first step was Iwata's different vision of the industry. He sensed the threat from market shrinking and made a creative decision to create a market segment in video game market which targets the non-gamers. The strategy later kept Nintendo away (of course, tempararily) from the over heated competition in the existing market segment.

For other industry, the innovative thinking when making a strategy can also be copied. The Coke, for example, they started to produce various beverages after their President said something like 'our market share is already very high, but what's the percentage of our product in a man's stomach'

But to be frank,I do think this kind of strategy implies super high risks and needs guts, (of course we are having innovation class we are expected to be risk taker), so risk assessment and market survey before implementation is necessary.

taylor.yuan

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A great break through for Nintendo

Post  yanglin_GA2011960920 on Sat Sep 10, 2011 12:05 pm

It is a great break through that Nintendo create the need of consumers instead of following or satisfying them. Nintendo didn't just following the traditional way blindly, they thought out of the box.

yanglin_GA2011960920

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Re: Case#1 - Nintendo's Distruptive Strategy

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