Wednesday, October 12, 2011

Week 2 EOC: Boston Consulting Group- Video Games

The BCG consists of 4 elements; star, question mark, cash cow, and dog. In the video gaming industry, there are multiple consoles and gaming systems that fall into the 4 categories.

I feel like iPhone mobile games are at the top of the BCG which would be the star; they're mobile, easy to download, and fairly cheap. They are also much more convenient, instead of running out to the store to buy a game; you can just pull it up on your phone and play right then and there. "Mobile game development is among the fastest-growing avenues to the big bucks in technology today," says an article on a gaming website. http://www.blogger.com/goog_1511807857

The Wii console would fall into the question category. It has low growth since it's expensive, but high market rate since you can stream movies and shows through sites like Netflix. The dog would be play stations and play station portables, since they're not every popular anymore and don't really come with game bundles like other consoles. They are also way too expensive, which is why they had to make the drastic decision to drop their prices; especially with the portable play stations. "Sony Computer Entertainment America today announced a price reduction for the PlayStation Portable. Starting February 27, 2011, the system will be available for $129.99, down from its current price of $169.99" reports a video gaming website about how much play station has really plummeted. http://gamerant.com/


I think the cash cow would be the Xbox because there are lots of things you can do through the Xbox, and they also offer games where you can win money; so more people want that opportunity. "Games provide so much value that you don't necessarily need to buy other stuff," says Evan Wilson, a video game analyst. http://online.wsj.com/article/SB124865158612682399.html#printMode This is where Xbox and iPhone come in, the tools themselves already have a lot that comes with it, which is why they're more successful than other consoles.

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