Wednesday, October 13, 2010

EOC Week 2: Boston Consulting Group - Video Games

“The tentacles of the recession have reached into the videogame industry, a business that was long considered downturn-resistant.” (Yukari iwatani Kane, Videogame Makers Can’t Dodge Recession, The Wall Street Journal). However, a few game consoles remain on top of the game. A couple of game consoles do well in both market share and market growth; a few does well in one of the other. The battle broils down between Microsoft, Sony, Nintendo and Mobile. Even though it’s obvious that people are more familiar with Xbox and Playstation, the Nintendo gaming console still manages to be on top. “The Nintendo DS stayed well above everyone else for the majority of the year” (http://arstechnica.com/gaming/news/2010/01/looking-back-at-2009-console-sales-and-ahead-to-2010-trends.ars). According to Ars Technica, Nintendo remains on top with the DS and Wii, followed by Microsoft’s Xbox gaming console, then Sony’s Playstation 3, 2, and PSP.

The Wii is high in market share and market growth, the Playstation is high in market share but low in market growth, PC games are low in market share as well as market growth, but mobile gaming are high in market growth and low in market share.  Mobile gaming is the next best thing to hit the market.

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