Nintendo 's Strategy Of Producing Software Completely For Their Own Hardware

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Nintendo produced the first console in 1985 and brings in roughly $10 billion a year. While it remains the world’s leading player in video games, Nintendo faces major challenges over 2012-2017. This marketing plan assessment will analyze the company’s prospective responses to the challenge represented by Sony and Microsoft’s next-generation consoles, and considers the possibility of Nintendo’s strategy of producing software completely for its own hardware in light of the rise of mobile gaming. SWOT Analysis Nintendo Strengths One of the business 's main power is the fact that it is truly global has a physical presence in most corners of the world. Manufacturing is still primarily undertaking in Japan, although supply networks exist worldwide. A global business means that the company is not overly needy on specific markets and therefore its business risk is condensed. The Nintendo brand and logo is embraced worldwide as a major electronic gaming brand. Just think how far the business has progressed from the Nintendo 64 to the GameCube to the Nintendo DS and finally to the Wii. They have worked themselves into new and interesting divisions. The Nintendo DS is perfect for travel as well as a handy device to keep children entertained. The Wii is a family entertainment device and also has functions for keeping fit and sports. At the end of the day, the devices have become eminent household names. Weaknesses Such a large supplier and manufacturer is largely dependent on its own supply chain. If suppliers are overseas then it is more difficult to manage the supply chain, and the business is exposed to currency fluctuations and the economic climates in other parts of the world. The lack of a single key component for whatever reason would... ... middle of paper ... ...e release in 2006, some ratios experienced a sharp decrease from 2006 to 2007. Nintendo carries very little to no debt, making this company very liquid. While the numbers are very strong, a sliding trend is present and the company needs to investigate so they will be able to continue to pay off their burdens without selling their inventory over the next five years. Executive Summary Nintendo has always been dedicated to its customers by providing high value amusement products. In 2006 and again in 2012, the company launched the Wii game consoles along with a popular marketing strategy which was very effective. Today, the company is experiencing decreased sales. This plan summarizes the background of the company, analyzes Nintendo’s current situation along with Sony and Microsoft and provides some recommendations for a new game console as well as a new marketing plan.

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