In April 2008, Nintendo was seventh in the annual BusinessWeek-Boston Consulting Group ranking of the world’s most innovative companies. The award recognizes the company as an innovative design powerhouse that the predominant business model of the video game industry is challenged with its new video game console, the Wii was. The video game console industry traditionally went every five to six years into a new cycle. In 2006, when the latest generation of video game consoles were introduced, M. .. Read more »

In April 2008, Nintendo was seventh in the annual BusinessWeek-Boston Consulting Group ranking of the world’s most innovative companies. The award recognizes the company as an innovative design powerhouse that the predominant business model of the video game industry is challenged with its new video game console, the Wii was. The video game console industry traditionally went every five to six years into a new cycle. In 2006, when the latest generation of video game consoles was introduced, Microsoft and Sony had continued with their existing strategies to increase the computing power their latest products, the Xbox 360 and the PlayStation third This time, however, Nintendo had something else planned. The Company believes that the video game industry had way too much focus on existing gamers, neglecting non-gamers who might also be the source of future growth. Armed with this insight, Nintendo had a radically different strategy, in which he asked the Wii, their computing power was developed by the PlayStation 3 and Xbox 360 to shame. Nevertheless, it is soon revealed that Nintendo Wii was a huge success. As Nintendo has achieved this success? The company has really disrupted the video game industry? What course of action available to the competitors Nintendo?
«Hide

from
Ali Farhoomand,
Havovi Joshi
Source: University of Hong Kong
24 pages.
Release Date: 10 February 2009. Prod #: HKU814-PDF-ENG
Nintendo’s Disruptive Strategy: Implications for the video game industry HBR case solution