You are on page 1of 14

Fachbereich

Wirtschaftswissenschaften

Case Study: Rivalry in Video Games
Wednesday, 28th of November 2012

© 2012 Technische Universität Kaiserslautern – Chair of International Management

intman.wiwi.uni-kl.de

Presentation´s Outline Outline Timeline MBV  ↔  RBV MBV of Market Summary • History of the Video Game Industry since 1972 • Market-Based-View vs.wiwi.07. Resource-Based-View • Market-Based-View of the Video Games Market • Summary © 02.de .2012 2012 Technische Universität Kaiserslautern – Chair of International Management !!Fußzeile NO WARRANTY FOR COMPLETENESS AND CORRECTNESS !! 2 intman.uni-kl.

uni-kl.2012 2012 Technische Universität Kaiserslautern – Chair of International Management !!Fußzeile NO WARRANTY FOR COMPLETENESS AND CORRECTNESS !! 3 intman.Topic focus Outline Timeline MBV  ↔  RBV MBV of Market Summary • Focus on stationary video consoles • Distribution of their games • Development of this market • No focus on  portable consoles  personal computers  mobile phones and handhelds  tablets © 02.07.wiwi.de .

07.2012 2012 Technische Universität Kaiserslautern – Chair of International Management !!Fußzeile NO WARRANTY FOR COMPLETENESS AND CORRECTNESS !! 4 intman.wiwi.de .uni-kl.History of the Video Game Industry since 1972 Outline Timeline MBV  ↔  RBV MBV of Market Summary since 2005 1999-2005 1995-1998 1992-1995 1986-1991 1972–1985 © 02.

massive losses © 02.first supplier .History of the Video Game Industry since 1972 Outline Timeline MBV  ↔  RBV MBV of Market Summary since 2005 1999-2005 1995-1998 1992-1995 1986-1991 1972–1985 • arcade video games in 1970s • Atari: .07.2012 2012 Technische Universität Kaiserslautern – Chair of International Management !!Fußzeile NO WARRANTY FOR COMPLETENESS AND CORRECTNESS !! 5 intman.de .wiwi.uni-kl.

uni-kl.de .2012 2012 Technische Universität Kaiserslautern – Chair of International Management !!Fußzeile NO WARRANTY FOR COMPLETENESS AND CORRECTNESS !! 6 intman.wiwi.History of the Video Game Industry since 1972 Outline Timeline MBV  ↔  RBV MBV of Market Summary since 2005 1999-2005 1995-1998 1992-1995 1986-1991 1972–1985 • Nintendo: NES (1985) • license  agreement  ↔  Atari © 02.07.

de .2012 2012 Technische Universität Kaiserslautern – Chair of International Management !!Fußzeile NO WARRANTY FOR COMPLETENESS AND CORRECTNESS !! 7 intman.uni-kl.History of the Video Game Industry since 1972 Outline Timeline MBV  ↔  RBV MBV of Market Summary since 2005 1999-2005 1995-1998 1992-1995 1986-1991 1972–1985 • SEGA: Genesis (1988) • Nintendo: SNES (1991) • Splitting of the market © 02.07.wiwi.

2012 2012 Technische Universität Kaiserslautern – Chair of International Management !!Fußzeile NO WARRANTY FOR COMPLETENESS AND CORRECTNESS !! 8 intman.wiwi.07.uni-kl.de .History of the Video Game Industry since 1972 Outline Timeline MBV  ↔  RBV MBV of Market Summary since 2005 1999-2005 1995-1998 1992-1995 1986-1991 1972–1985 • Sony: Playstation (1994) • Nintendo: N64 (1996) • three-way-battle: SEGA  ↔  Nintendo  ↔  Sony © 02.

History of the Video Game Industry since 1972 Outline Timeline MBV  ↔  RBV MBV of Market Summary since 2005 1998-2005 1995-1998 1992-1995 1986-1991 1972–1985 • Sega: Dreamcast (1998)  withdrawal from the market • Sony: Playstation 2 (2000) • Microsoft: XBOX (2002) • three-way-battle: Microsoft  ↔  Nintendo  ↔  Sony © 02.uni-kl.2012 2012 Technische Universität Kaiserslautern – Chair of International Management !!Fußzeile NO WARRANTY FOR COMPLETENESS AND CORRECTNESS !! 9 intman.07.wiwi.de .

wiwi.de .History of the Video Game Industry since 1972 Outline Timeline MBV  ↔  RBV MBV of Market Summary since 2005 1999-2005 1995-1998 1992-1995 1986-1991 1972–1985 • Microsoft: XBOX 360 (2005) • Sony: Playstation 3 (2006/2007) • Nintendo: Wii (2006) • three-way-battle: Microsoft  ↔  Nintendo  ↔  Sony © 02.2012 2012 Technische Universität Kaiserslautern – Chair of International Management !!Fußzeile NO WARRANTY FOR COMPLETENESS AND CORRECTNESS !! 10 intman.uni-kl.07.

wiwi. Resource-Based-View Outline Timeline MBV  ↔  RBV MBV of Market Summary Market-Based-View: • „Outside  In“:  unique  product-market combination • focus: analysis of opportunities and threats • entry barriers to prevent new competitors Resource-Based-View: • „Inside  Out“:  unique  resources • focus: strength and weaknesses • sustainable competitive advantages © 02.Market-Based-View vs.2012 2012 Technische Universität Kaiserslautern – Chair of International Management !!Fußzeile NO WARRANTY FOR COMPLETENESS AND CORRECTNESS !! 11 intman.de .07.uni-kl.

2012 2012 Technische Universität Kaiserslautern – Chair of International Management !!Fußzeile NO WARRANTY FOR COMPLETENESS AND CORRECTNESS !! 12 intman.wiwi.uni-kl.de .Technology of the consoles Outline Timeline MBV  ↔  RBV MBV of Market Summary 1998-2004 Opportunities: • Replace the pc • Multiplayer / Lan / Internet • Technology standards (Blue Ray) Threats: • Production and developing costs • Distribution of the internet • Complex development – difficult to approximate © 02.07.

2012 2012 Technische Universität Kaiserslautern – Chair of International Management !!Fußzeile NO WARRANTY FOR COMPLETENESS AND CORRECTNESS !! 13 intman.uni-kl.de .wiwi.Technology of the consoles Outline Timeline MBV  ↔  RBV MBV of Market Summary Since 2004 Opportunities: • Sensors for new controllers • Updates to generate persistence • Real-life gaming • 3D Threats: • Higher complexity • Tv development © 02.07.

de .Technology of the consoles Outline Timeline MBV  ↔  RBV MBV of Market Summary Company decisions Sony: • Performance that exceeded any PC (for gaming) • Cinematic-style graphics • DVD player • Internet connectivity Microsoft: • „The  most  powerful  games  console  ever“ • Similar specification as Sony Playstation 2 and Sony Playstation 3 Nintendo: • Nintendo – Game Cube was tailing both Microsoft and Sony • Wii – less complex graphics and new controllers © 02.2012 2012 Technische Universität Kaiserslautern – Chair of International Management !!Fußzeile NO WARRANTY FOR COMPLETENESS AND CORRECTNESS !! 14 intman.wiwi.uni-kl.07.