Nintendo Wii Case Study Analysis


Case Details:

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Themes

Differentiation | New Product Development
Case Length:21 Pages
Period:2004-2006
Pub Date:2007
Teaching Note:Available
Organization:Nintendo
Industry:Media, Entertainment, and Gaming
Countries :Worldwide

Abstract:

Nintendo is a major game development company, developing both video game consoles and game software. The case begins with an account of the company's decline in fortunes in the early 2000s.

It then describes Nintendo's decision to create a new console with unique gameplay, instead of going in for a console with advanced graphics and superior processing power. The case describes the features of the Wii and its controller, the Wii Remote, the target market, the marketing efforts, and its strengths vis-à-vis competing consoles. It ends with a discussion on the challenges and future prospects for Nintendo and its new console.


Issues:

» To understand the importance of innovation.

» To appreciate a company's strategy of market disruption, and the compulsions, the risks, and the rewards.

» To analyze the current status and the future prospects of the video games industry.

Contents:

Keywords:

Nintendo Wii, Game console market, Market expansion strategy, Differentiation strategy, Video gaming industry, Gameplay, Sony PlayStation 3, Microsoft Xbox 360, Wii Remote

Nintendo Wii: A 'Revolution' in Gaming? - Next Page>>

 

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Executive Summary

For many years now, gaming industry has been very competitive when big corporations occupiedthe industry and shared a limited pie of hard-core gamers. In 2006, by implementing successfully

the “Blue Ocean” strategy, Nintendo has had a tremendous breakthro

ugh and explored a brand

new potential market segment: Women, the elders and families. Nintendo’s success

es wereundeniable by implementing a brilliant strategy and capture the big time of economydevelopment. However, Microsoft and Sony which are in the most powerful corporations in thegaming industry, also reacted aggressively in order to capture back their markets. Moreover, the

economy crisis busted in 2008 has affected Nintendo’s bottom line and

brought more challenges.The question stated for Nintendo:

“where to go

next after the big success with Nintendo Wii andhow to maintain the leading position in gaming industry against giant competitors?

The paper’s purpose is to analyze Nintendo’s

strategy, resources as well as the effects of theeconomy on the gaming industry in order to craft a generic strategy for Nintendo to adapt newcircumstances and earn more success in the difficult economic situation.

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