Nintendo Essay

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1. What aspects of Nintendo's strategy made it a game-changer in the video game industry? Please discuss the key elements of Nintendo's strategic approach. Nintendo is a Japanese based video game company which founded by Yamauchi in 1889 and its globally operates in Japan, America & Europe. Nintendo have been the worldwide leader in the creation of interactive entertainment and created the revolutionary video game console. Nintendo had a smallest share even though the company had historically dominated the market. In 2004, faced with strong competition from larger and wealthier rivals, Nintendo have come up with the innovative strategy to maintain its profitability. The optimal strategy that has been used by Nintendo was differentiation into neglected segment of the market, casual gamers who prefer more simple and intuitive gaming experience and lower price. Nintendo positioned themselves as a game changer and first mover advantage with opened untapped markets. Nintendo practice this strategy in developing the game console and targeting the market that had not yet been tapped by competing companies. Generally video games are targeted to the younger market. Video game players came from demographic with an abundance of their leisure time such as students and children and predominantly male. The overall target market of gamers is less than 35 years old. Nintendo see this situation and made a new strategy by discover wider target market in the video game industry. The new strategy objective was to reach out to non gamers in order to create a bigger market. This was an aspect of Nintendo’s strategy in becoming a successful video game industry. Nintendo introduce new product category for gaming entertainment and appeals to all ages. Nintendo focus on wide variety of users such as casual gamers, aging gamers, young gamers, female gamers and new gamers in the new

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