No Increase In Wii Production Until April

CantGetAWii · 01-28-2008, 09:33 PM

Quote:

Nintendo has ruled out increasing Wii production until April at the earliest.

According to Gamefront.de, Jinyou Mori, Senior Managing Director of Nintendo of Japan said that the company intends to maintain monthly production rates at their current levels for the rest of the financial year, which runs until 31 March 2008.

At present, Nintendo is manufacturing 1.8 million Wii consoles a month. Although this has been just about enough to keep up with demand during quiet times, it’s has left Nintendo unable to supply enough consoles during periods of peak demand.

And it’s not just disgruntled Christmas shoppers who are concerned by this, with the shortages also denting investor confidence in the Japanese console manufacturer.

Although Nintendo’s quarterly profits doubled during Q4 2007, Nintendo shares plummeted nearly 10 per cent today amid fears that the strong Yen and supply shortages could hamper its overall profits for the current financial year.

Speaking to Reuters.com, Rakuten Securities analyst Yasuo Imanaka said “In the United States and Europe, shortages of the Wii and DS are getting serious.

“Nintendo will surely boost production in the next business year.”

Nintendo has ruled out making any further announcements on the subject until it reveals its annual earnings in April.

Source

Apple Guy · 01-28-2008, 09:35 PM

Are wiis still really hard to find?

261311 · 01-28-2008, 09:42 PM

Are people still asking that question? Yes they are, to both questions.

Apple Guy · 01-28-2008, 09:48 PM

No need to sound so arrogant and obnoxious

iamreptar · 01-28-2008, 10:05 PM

kind of obvious.

261311 · 01-28-2008, 10:36 PM

Quote:

Originally Posted by Apple Guy

No need to sound so arrogant and obnoxious

Ask a stupid question, get a stupid answer. Especially when the article almost screams that there's still a shortage.

Obnoxious would be something along the lines of, I never included an audio clip in my post and therefore, I've never "sounded" like anything.

Cool though on the article, this should help satisfy the growing demand for Wii's but I think it may be too little too late seeing as the news about Sony considered a significant price drop.

zapasant93 · 01-28-2008, 10:53 PM

Quote:

Originally Posted by 261311

Ask a stupid question, get a stupid answer. Especially when the article almost screams that there's still a shortage.

Obnoxious would be something along the lines of, I never included an audio clip in my post and therefore, I've never "sounded" like anything.

Cool though on the article, this should help satisfy the growing demand for Wii's but I think it may be too little too late seeing as the news about Sony considered a significant price drop.

its not a stupid question, it just has an easy eanswer that HE doesnt know, there for actually making it a msart question, so stop being a little smart ass

BACK ON TOPIC

this is a real mystery to me, if something is selling like mad and its in high demand, then why hold out to increase productions? doesnt logic say you should be increasing sales right away?

maybe i just dont understand buissness, but im just using common sence

261311 · 01-28-2008, 10:58 PM

The topics title is "No Increase In Wii Production Until April", the fact that people are frequently posting on these forums for hints on how to get one might as well be the biggest kick in the balls telling you they're hard to find in most places.

Who knows, maybe the easiest point to discover is that Nintendo is now increasing production? I doubt they would if there wasn't high demand.
[/end simple business lesson]

zapasant93 · 01-28-2008, 11:02 PM

listen, there is no such thing as a stupid question, unless its really just non sence, if you dont know the answer to something YOU ASK, and people who are more knowledged then others are suppose to ANSWER this questions, not be a doush and flamm the hell out of the person for not knowing.

261311 · 01-28-2008, 11:05 PM

I'm not flaming anyone, it's not my fault how he interpreted my post now is it? I can't be by everyones side babying them through what I write.

For future reference, it's spelled "douche". thanks.

gnahc79 · 01-28-2008, 11:13 PM

Quote:

Originally Posted by zapasant93

this is a real mystery to me, if something is selling like mad and its in high demand, then why hold out to increase productions? doesnt logic say you should be increasing sales right away?

maybe i just dont understand buissness, but im just using common sence

It could be a few or many factors, it's hard to know for sure unless you're inside

. It's all about risk and $$$. If you ramp up production as a reaction to demand without proper planning, you're more likely to run into quality control issues. Plus we can only speculate what the timeline is from the decision to ramp up production to Wiis arriving at the retailers...1 month? 6 months? Nearly every electronic device has components coming in from multiple suppliers. Manufacturer A can only supply a fixed # of part 1, how much of a risk is it to go to a new manufacturer to get part 1? If we increase production X%, will demand produce enough of a profit for Y quarters to generate a substantial profit?

zapasant93 · 01-28-2008, 11:16 PM

Quote:

Originally Posted by 261311

I'm not flaming anyone, it's not my fault how he interpreted my post now is it? I can't be by everyones side babying them through what I write.

For future reference, it's spelled "douche". thanks.

ok, thanks dr phil

261311 · 01-28-2008, 11:21 PM

No problem.

http://img246.imageshack.us/img246/4707/signkp3.jpg

Very good explanation gnahc79, also there is the question that will arise that will they change the price, and if so, by what, and when?

gnahc79 · 01-28-2008, 11:49 PM

No one has any clue. It depends on:

- Competition: Will price drops for the 360 and PS3 steal market share? IMO it's unlikely since the target audience for the Wii is more broad. I really can't see grandpa going nuts with COD4

.
- Current Wii Supply: When will the Wii be at normal inventory levels at retailers? We can only speculate.
- Next gen Nintendo console: When will Nintendo's next gen console be ready? When do they want it to be ready? I would think that once Nintendo has a firm timeline for the next console AND they've recouped all of the Wii R&D costs (probably already have by now), then they can plan a price drop for the Wii. IMO this won't be for a long time.

I'm not a business/financial expert by any means, so feel free blast away and poke holes, lol.

JCpackers05 · 01-29-2008, 12:24 AM

i dont understand why they are not making enough to meet the demand...

and idk why but it seems like this christmas there were more Wii's to get. cause i know of about 5 or 6 friends of mine got one this christmas, and tried last christmas but didnt get one....anyone else notice something along those lines?

Atomheart · 01-29-2008, 12:40 AM

And people still doubt Nintendo intentionally witholding production in order to create an artificial demand crisis with the intention of increasing hype?

I thought their marketing scheme was fairly transparent from the start, but I guess not everyone catches on at the same rate...

261311 · 01-29-2008, 12:41 AM

Small supply increase for the Christmas season is my guess. All manufacturers do that though to brace themselves so that they don't run out of stock (thus taking advantage of this huge consumer month).

JCpackers05 · 01-29-2008, 12:46 AM

ohh i see. i still dont feel its necessary for them to do. but oh well...

oh and atomheart you dont have to be an a**hole about it...