Although, there are only three entities in the video gaming console industry, Nintendo, Sony and, Microsoft, there are many elements involved. The convergence of information technology, telecommunications, media and, entertainment has brought prominent social and technological changes upon the industry. These companies have to constantly be innovating and altering their products to meet the demands of the technological advances. Consumers of these products are very much conscious of the image branding that is affiliated with the products. Success in the consoles has historically been the result of establishing a large title base for a system’s launch through an established net- work of developers with licensing agreements. All of these elements combined which compose the console gaming industry, results in a high barrier of entry.
There is immense competition amongst Nintendo, Sony and, Microsoft in regards to there gaming consoles, in which, results in threat of product substitutes and intense rivalry. Against Nintendo’s Wii, the XBOX 360 and the PS3 are more targeted for “gamers”. They have superb graphics technologies and a much wider array of more technical and advanced games. XBO 360 and the PS3 also serve more as an entertainment hub than the Wii by, providing HD DVD and BLU Ray DVD playback and also the ability to store movies and music on their hard-drive. On the other hand, the Wii, is more user friendly, purposely, for a much wider demographic. The Wii is designed for all most ages where the XBOX 360 and the PS3 are for a demographic of males in there late 20’s and thirties with sufficient disposable income. Since Nintendo has been around for a while they have a more brand recognition and loyalty because of their famous games such as Super Mario Bros and Mario Party, just to name a few. Also, the Wii has motion detectors so one can operate the Wii with movement with one’s body and hands for more interaction. The Wii also focus’s... [continues]
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