The Way of Wii
The world's TV game consoles had been almost dominated by Sony's PS2 and Microsoft's Xbox several years before the advent of Wii. They were more advanced than Nintendo's GameCube which cost a little but still only had been sold 14.6 million by March 31,2004 worldwide (Nintendo 2004 Annual Report).To compete with the two mighty rivals, Nintendo developed its original product Wii which was considered a revolutionary game console allowing people to simulate playing sports by waving a controller around. It was so attractive that was hot pursued by users since launched day. Depending on its low price, unique innovation of game operation and new marketing strategy, ...view middle of the document...
The company purse customer-oriented policy to guide its products research and development. Wii is one of its products, a TV video game console, which released on November 19, 2006. As a seventh-generation console, the Wii primarily competes with Microsoft's Xbox 360 and Sony's PlayStation 3. Nintendo states that its console targets a broader demographic than that of the two others. With a unique controller which you can wave around and simulate the experience of playing boxing or baseball or other sports.
Nintendo’s first generation video game console
Blue Ocean Strategy
A business strategy which was first proposed in the book Blue Ocean Strategy published in 2005, author by W. Chan Kim and Renée Mauborgne. The book illustrates the high growth and profits an organization can generate by creating new demand in an uncontested market space, or a "Blue Ocean", than by competing head-to-head with other suppliers for known customers in an existing industry.
Nintendo was in bad condition for the powerful competitors Sony and Microsoft were the dominated forces in the TV game console market. Both the two rivals are giant in consume electronics and business software. Nintendo is a primarily a video game company, but its performance was abysmal. Its latest released game console was GameCube, the same age with the Sony's PlayStation 2 and Microsoft's Xbox but could not compete with them. To fight for shares of market, Nintendo decided to develop a brand new product which would defeat PS3 and the next generation of Xbox.
Video-Game Battle (2007)
The concept of Wii was formed early in 2001, According to an interview with Nintendo's game designer Shigeru Miyamoto, the concept involved focusing on a new form of player interaction. "The consensus was that power isn't everything for a console. Too many powerful consoles can't coexist. It's like having only ferocious dinosaurs. They might fight and hasten their own extinction."
It was a designed as "a new to the world product". Otherwise, Nintendo has sufficient resources, no matter human sources or capital sources provide a much more stable context in which to develop this product innovation activity. Developing in the domain for many years, Nintendo has it core competences to execute the product strategy.
Nintendo found that the fixed game player were not reliable, they were prone to be attracted by Third-Party software and would change their sides anytime. It is not easy to keep shares of market solely rely on this group player and the profits from them are limited too. The better choice is to attract new players by designing a new game or even not a game software.
The path of Wii design was not as flat as a pancake. The technology was involved. It took Nintendo two years to solve the wireless control problem which was the most difficult in the process redesigning the controller, took a year more to develop infrared...