Nintendo was a company that originally made playing card games but decided in the 1970’s to branch out into video games. Their first few video game systems did not have much to them and were overlooked. They finally got a leg up in the industry in 1985 when they introduced the Nintendo Entertainment System or NES to the market. While it was very successful because of its superior graphics when it became coupled with a certain plumber named Mario it became the superstar console of the gaming industry. Their success continued along to their 16-bit Super Nintendo Entertainment System or SNES, which was made in response to their competitors making their own 16-bit game systems. (McGraw-Hill Primis. Customized paperback version).
Their next system the Nintendo 64 and while it was successful as well there was a problem. By now their competitors had switched to using CDs for game storage due to how much cheaper they were and how much more data they could store. The cartridges of the Nintendo 64 could only store 64 megabytes of data whereas the CDs could store 700 megabytes. This allowed for many things such as better graphics, longer more in depth story lines, more saves, and more content in the games in general. And they could be produced for ten cents a CD unlike the cartridges which were produced at around 25 dollars for one. With so much more money being used to create cartridges than CDs both the third party game developers and the consumers were hurt by the high prices. Because of this many of the games sold by Sony and Sega, who used CDs, were sold with a maximum price tag of 50 dollars, while Nintendo’s cartridges were sold up to 70 dollars. Also since the third party game developers mad...
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...hat difference. Nintendo’s new focus on family oriented gaming and new motion sensor and controller technology made them major contender and once again provided them a long lasting spot in the video game console wars.
In lowering the prices of the system and its games, utilizing new technology, and most importantly doing away with the stagnation that had built up inside the company, Nintendo has done what many companies that fall from glory failed to do. Their new directions and innovative thinking has made them once again one of the leaders in gaming technology allowing. Their new direction has allowed them to bounce back from being a failing company to a highly successful one who looks to be staying around for a good while.
Business cases: McGraw-Hill Primis. Customized paperback version.
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