Economic

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  • Topic: Blizzard Entertainment, Variable cost, StarCraft
  • Pages : 20 (2470 words )
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  • Published : June 1, 2013
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BLIZZARD COMPANY AND COST-VOLUME PROFIT CASE

Member’s name: Tran Mai Xuan

Tran Thi Kim Oanh

Le Thi Hong Ngoc

Bui Sao Mai

I. Introduction and History

1. About Blizzard:

Blizzard Entertainment is a premier developer and publisher of entertainment software. After establishing the Blizzard Entertainment label in 1994, the company quickly became one of the most popular and well-respected makers of computer games. By focusing on creating well-designed, highly enjoyable entertainment experiences, Blizzard Entertainment has, maintained an unparalleled reputation for quality since its inception.

Blizzard Entertainment's track record of back-to-back #1-selling games spans more than a decade, and with blockbuster hits such as World of Warcraft® , Warcraft® III: Reign of Chaos® , Diablo® II , and StarCraft® , the company has earned several consecutive Game of the Year awards. In addition, Blizzard Entertainment's online-game service, Battle.net®, is one of the largest in the world, with millions of active users. The high-quality products based on Blizzard Entertainment's games have also proven popular and garnered critical acclaim. These products include action figures, novels, manga, board games, pen-and-paper role-playing games, apparel, and the World of Warcraft Trading Card Game, which is a bestseller in its category. Extending the reach of its game universes even further, Blizzard Entertainment is currently at work with Legendary Pictures, the studio behind the feature films Watchmen , The Dark Knight , Batman Begins , Superman Returns , and 300 , on a live-action Warcraft movie.

2. The Warcraft® Universe

Blizzard Entertainment's most recent game release was World of Warcraft: Wrath of the Lich King™, the second expansion set to the company's bestselling and award-winning subscription-based massively multiplayer online role-playing game, World of Warcraft. Wrath of the Lich King launched in November 2008 in North America, Latin America, Europe, Korea, Australia, New Zealand, Singapore, Malaysia, and Thailand, and the regions of Taiwan, Hong Kong, and Macau. It sold a record-setting 2.8 million copies in its first 24 hours of availability, and over 4 million in its first month, making it the fastest-selling PC game of all time. This record was previously held by World of Warcraft’s first expansion, World of Warcraft: The Burning Crusade®, which sold approximately 2.4 million copies in its first 24 hours, and went on to sell a record 3.5 million copies within its first month. The expansion was launched in South Korea in February 2007, the regions of Taiwan, Hong Kong, and Macau in April 2007, and mainland China in September 2007.

World of Warcraft initially launched on November 23, 2004 in North America, Australia, and New Zealand, with subsequent launches in South Korea, Europe, mainland China, Singapore, and the regions of Taiwan, Hong Kong, and Macau in 2005, Malaysia in 2006, Thailand in 2007, and Latin America and Russia in 2008. The game has achieved unprecedented popularity on a global scale, with millions of subscribers worldwide. Blizzard's original Warcraft game, Warcraft: Orcs & Humans™ was touted as one of the best strategy games of 1994, and the game’s epic sequel, 1995’s Warcraft II: Tides of Darkness™, won numerous awards, including the company’s first Game of the Year award. Warcraft III: Reign of Chaos, released in July 2002, has likewise won several accolades and, like StarCraft, has become a staple of professional tournament gaming, along with its expansion, the award-winning Warcraft III: The Frozen Throne®, which was released in July 2003.

3. The Diablo® Universe

On June 28, 2008, Blizzard Entertainment unveiled Diablo III , the latest entry in its landmark action-role-playing game (RPG) franchise, at the Blizzard Worldwide Invitational event in Paris, France. The original Diablo, which shipped to stores in the last week of...
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