Sony: Maintaining Dominance with PlayStation 3

Source: www.mcafee.cc
Topic: Playstation 3

Short Desciption:
how does Sony maintain its leading role in the video game industry with its PlayStation 3. (PS3)? Rather than reduce the retail price Sony should seek to ...

 

Content Inside:
Sony: Maintaining Dominance with PlayStation 3 Page 1Sony: Maintaining Dominance with PlayStation 3 Jie Cheng Mark FreemanAloiau Xin Guo Anthony Pullen BEM 106 California Institute of Technology March 6th 2007 Page 22Executive summaryIn face of the competitive advantages of Nintendos Wii and Microsofts Xbox 360 how does Sony maintain its leading role in the video game industry with its PlayStation 3 (PS3)? Rather than reduce the retail price Sony should seek to maximize the value of thePS3 and to aggressively market it as not only a powerful video game console but also an affordable home entertainment hub. Specifically the strategy should include the following major components: Sony should effectively market the PS3 as the worlds most powerful video gameconsole and an affordable home entertainment hub. Sony should imitate Wiis motion sensing controller and offer it as an optional addon for both the PS2 and the PS3. Sony should use the PS2 and the PS3 to fill different customer niches and encourage PS2 owners to gradually upgrade to the PS3. Sony should leverage its core competencies and exploit synergies between thePS3 and other Sony products. Page 33Part I. Introduction Sony launched the long awaited PS3 in the United States on November 17th2006 two days before the debut of the Wii from Nintendo. Both events have witnessed hardcore gamers and eBay entrepreneurs living in tents for days in front of Best Buy and Circuit City stores waiting to buy the next generation consoles. These consoles were soon after sold on eBay for up to five times the retail price. The frenzy lasted for weeks and finally escalated into riot robbery and gunshots. Moreover the recent unleashing of the PS3 the Wii and Microsofts Xbox 360 hasstarted a new generation game console war between the three giants in the oligopolistic industry. Due to the noninteroperability of these proprietary consoles and the network effects present in the video game industry 1] ...

 

 

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