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Nikolay Martynov, Mark Johnston, Justin McNeill, Hisami Miyara. Outline. Past of Nintendo Internal Environment of Nintendo Current Industry Trends Global Issues SWOT Analysis Competition Conclusion Recommendations. Video. http://www.youtube.com/watch?v=kbUTuvJjKFQ. Past of Nintendo.
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Nikolay Martynov, Mark Johnston, Justin McNeill, Hisami Miyara Dickinson
Outline • Past of Nintendo • Internal Environment of Nintendo • Current Industry Trends • Global Issues • SWOT Analysis • Competition • Conclusion • Recommendations Dickinson
Video • http://www.youtube.com/watch?v=kbUTuvJjKFQ Dickinson
Past of Nintendo • Nintendo Company Limited was found in September the 23-rd 1889 in Japan. Company was producing playing cards for games. • In 1920-s, it tried to run love houses business, taxi and fast food. Dickinson
History 1. In 1978 first video games appeared from Nintendo, named Computer Othello 2. In 1990 the most famous video game console came to the public production • Super Nintendo Entertainment System Dickinson
Internal Environment • Nintendo Company has over 3000 employers • Head quarter in Kyoto • CEO of the Nintendo is Satoru Iwata • Co-owner of Seattle Mariners, baseball team in Seattle, Washington Dickinson
Organizational Structure Nintendo has tree levels of divisions which called parties. a) First-level parties: Nintendo R&D1, R&D2, Intelligent Systems. b) The second-level parties 13 companies who have contracts only with Nintendo Company c) The third-level parties have close relationship with the Nintendo. (even Panasonic – shared with technology) Dickinson
Financial position Strong financial position In 2006 Nintendo sold • 387 million of hardware • 2.2 billion software among the world Net sales in 2006 world wide was $ 4.5271 billions P.S. Nintendo outperform it expectations for 2006 Dickinson
Video Game Industry Trend • Increasing demand • Implementing technology • Adopting cultures • Connecting the World Dickinson
Trend • Adopting Culture • http://www.filibustercartoons.com/Nintendo.php Dickinson
Connecting the World • Nintendo – sekai no daredemo Dickinson • http://www.nintendo.co.jp/ds/atdj/taisen/index.html
Global Issues • Controller Malfunction • Piracy - China Main problem • $762 million dollars lost in 2006 • Hong Kong, Brazil, Mexico, Paraguay • Violence Dickinson
Strengths • Strong Brand Name • Introduction of New Gaming Ideas • Large Advertising Budget - Television - Magazines - Internet • Sports Celebrities to Promote Products - Tiger Woods “Tiger Woods 07” - Michael Vick “Madden 07” Dickinson
Weaknesses • Absence in the Mobile Market • Not DVD Compatible - Competition does have this a. Sony PlayStation b. Microsoft XBox Dickinson
Opportunity • Increase in online gamers • Internet • Cell Phone • Growth in older consumers • Average 30 years old • 43% - ages between 18 and 49 Dickinson
Threats • Target of Criticism • Parents • Psychologists • Politicians • Strong competition • Software piracy • China, Korea, Russia Dickinson
Pirated Video Games Market Value Dickinson
Competition Wii (Nintendo) PlayStation3 (Sony) XBOX (Microsoft) Dickinson
Competitors • - Microsoft Xbox • - Sony Playstation • - Actual Computers Dickinson
Nintendo • Nintendo DS - PDA type of game play - Wifi • Nintendo Wii - Controllers - Internet - Download old Favorite Games Dickinson
Xbox • First released on November 15, 2001 • Main Video Game • Xbox Live Dickinson
Playstation • First produced in the mid-1990’s • Main Games • Playstation 2 • PSP • Playstation 3 Dickinson
Computer • Single Player • Multiplayer Dickinson
Conclusions • From early items to actual video game • Two main competitors, Microsoft Xbox and Sony Playstation • Nintendo does need to concentrate more on new ideas Dickinson
Recommendations Upcoming 6 months to select sports stars the country is familiar with One year Nintendo should begin research, in other areas of games Long-term gaming console that is DVD compatible Dickinson
Thank you! Dickinson