Question

Needing a conclusion statement for the following paragraph.

Nintendo is a Japanese company of video games which began in 1985. Wii is the version it introduced with some advanced features. It has the motion-sensitive remote controllers that are wireless and it supports the Wi-Fi network. Nintendo focuses on easy and user-friendly games that can be played by non-gamers as well as gamers. They believe in giving quality product and treat all customers the same rather than emphasizing on any one market. Nintendo's vision was to bring a product that is smaller, simpler and cheaper and also new from anything that the company or its competitors have brought in the market. Another strategy that the company applied in Wii is that making it cost-efficient. The manufacturing of the product was done with off-the-shelf parts from different suppliers. The chip used in Nintendo-Wii is marginally better than the competitors' products. This helped them to price the Wii products lesser than their competitors and gain profit on every unit that they sold. Hence Nintendo Wii has gained profits from strategies used in differentiation and economies of scale. This accelerated the sales of the product in just 6 months of its launch.

The competitors introduced games that were more difficult and complicated to learn and focused on hardcore gamers. Nintendo, on the contrary, targeted on the customers that were left out by these competitors. They introduced Wii remote that had exclusive features which attracted the non-gamers and made using the product easy for them. This strategy of differentiation and economies of scale could not be copied by their competitors as they were focusing on the hardcore market and bringing products that were more complex and advanced. Hence altering the strategy and copying Nintendo wasn't possible for them.

With the introduction of Wii Nintendo changed the perception of video gaming. They used the strategy of backward integration and differentiation. They made the product usable and enjoyable by all age groups. They brought in more games that could be played by families and were easy to understand by all ages. They focused on all segments of customers on one side and maintained a healthy relationship with suppliers on the other. This helped them to sell their product with a price advantage in the market. Nintendo-Wii enjoyed a competitive advantage in the market with an accessible interface and low-cost product.

Answer 1

Moreover, the product had an appeal for all customer segments, increasing the overall coverage and value of the product in the market. Competitors do try to copy the strategy of Nintendo but fail miserably. The reason being the strategy of Nintendo is in alignment with the culture of the company and hence has been quite effective and successful for the company. Nintendo must maintain this alignment of its culture and business strategy to remain market leader in the gaming segment.