By not making their new product backward compatible Nintendo widened the playing field for Sega. Growing awareness in parents related to educative use of video games is anticipated to fuel market growth.
Video game console producers made most part of their profit on game and sold their consoles on a small price.
Increasing consumer disposable incomes and standards of living are also enhancing the video game market. Additionally, manufacturers are focusing more on a single market segment such as smartphone gamers, mobile games, console games or pc games. Customers prefer to pay premium amount to download quality games.
Relationships between the publisher and gamers are maintained by letting players making their own environment; and by making games globally available. As for licensing and compatibility, a good strategy considers making new generations of video game consoles backward compatible with previous generations.
Request a Free Sample The global video games market is expected to flourish owing to increasing number of consumers looking for interactive digital gaming world as a source of entertainment. Further, users are presented with a variety of options to choose from.
There must be agressive advertising and promotion with preannouncemets about upcoming product introductions. They tried to enter the market which already had a very strong leader that had the bulk of the market share.
Video games also enhance creativity in children. Developments in touch screen gadgets such as smart phones and tablets; easy availability of the video games on different devices such as personal computers, tablets, laptops, mobiles, and smart-phones are expected to drive the video game market.
Developers are constantly under pressure to develop newer and better versions of already existing popular games. Microsoft also had to build on their distribution network to include toy distributors, to develop a different brand image than what it had in the software market and use different market channels than it had for software sales.
Further, pirated versions of popular games are increasingly made available in certain countries at a cheaper rate. Analyxing the different generations of competition in the video game industry we can see that every strategy includes following features.
The first one is timing. Profits are made of game royalities so it isnt effective to license console production to others because the will not be able to subsidize console price with game royalities. Growing number of internet or social game players may further augment the market.
Current trend in the video gaming market include developing strategies to increasing comparable mechanics to existing popular games so as to reduce risks. Increasing online piracy by using torrents and other software is anticipated to pose a challenge to market expansion.
Decreasing internet costs coupled with easy availability of games is expected to fuel the video game market demand. The Xbox offered a high technological advantage over existing game systems and Microsoft had the resources to price it below cost. For instance, only trial version of the video games is released for free whereas, full-version games require users to pay the price.
Important strategies of course include pricing. Sony, who developed and controled the compact disk format, decided to use that technology in the development of video games.
They also need to concur with the Christmas seilling period. The firm needs to have a will to cannibilize existing generations before competitors do that. Increasing number of freely available customizable games may pose a challenge to the market. Pricing of the games largely depends on game play experience and quality content.
And also it was made too late.video game violence Essay. young people, especially boys, are playing grislier realistic video games.
Critics argue that these games desensitize players to violence, reward players for being aggressive, and teach children that violence is an acceptable way to resolve conflicts. Newzoo’s Global Games Market Report is a subscription service that includes quarterly trend and forecasting update reports as well as continuous access to a dashboard with continuously updated gamer and game revenue forecasts by country and segment.
* The video game industry is currently a $31 billion global market. * Market size has tripled in value over the last decade from $10 billion in to $31 billion as of * In five years the industry is expected to grow approximately % ($36,/$31,), at a rate of approximately % per year (%/5).
Essay about Electronic Arts and the Global Video Game Industry Words | 9 Pages Electronic Arts and the Global Video Game Industry Demographic trends Gaming has become an important part of growing up for people who were born in the last 25 years. The United States is the largest video game market in the world with about 50% of the US population ( Million people) spending hours a week on computers and video games.
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