ericlewis91
im McLovin
i think the ps3 will go down $50 at first
and the wii down like to $179.99
and the wii down like to $179.99
Nintendo passes Sony in market value!
- Thread starter ciper
- Start date
CyanRussel
2062-8990-6509 GET READY!
- Mar 19, 2007
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I believe the PS3 will go down a little bit more..........the wii on the other hand will not go down yet, as good as its selling its keeping that price point for some time!
Shiftfallout
shiftfallout.com
Lets just make it clear that is not the value of the companies as a whole. Market Shares are the percentage of the total sales of a given type of product or service that are attributable to a given company.
Meaning, it has to do with sales, not company worth. Big difference. Nintendo's sales to profit ratio is HIGH because they make a profit off of everything they sell. This is not a good or bad thing. Its a double edged sword. Meaning, Nintendo opted to make profit over say, giving you better hardware or a dvd playback feature or better graphics..ect
When you invest in something, you take a loss untill that investment reaps the rewards over time. For example, you could invest/ aka take a loss of/ 2 million dollars on buying out some apartments. You then rent those apartments and over the course of say 5 years, your investment/loss of 2 million is doubled to a total of 4million, meaning you just earned an additional 2 million dollars.
So, Sony is putting the best this generation has to offer in technology and services like free online play, they are taking the loss of developing a new and better cpu, of putting blue ray on the market...ect they take huge loss. But thats not stupid, its intentional, in order to have that big gain later. So with Home they will reap money from merketing campaigns from companies like Nike, or Fender or whatever, in addition to profit off of game and movie sales, in addition to licensing out technology. Namco is going to use the PS3 Cell processor in their new arcade machines for example. This means they invested in a lot of money and the seeds are planted, They will get their investment back, and more.
So when a big company invests in something big, taking the losses to make it available to the consumer, you have to expect a drop in their share while also expecting a spike in it later. Thats why you cant really take those numbers seriously.
Nintendo's market share is high because they, unlike other gaming consoles, put cheaper old school technology in the wii and charge more so that no matter what they wont lose money. The problem with this is, they have no obligation to provide you with good games because no matter what they will never take that initital loss. If you take an initial loss, you have more reason to provide better services and games because you want to get that money back and then some. Its the difference between buying a guitar that was made in china in a factory, with cheap wood, or say in the US with say maple wood and not in a factory but by a professional. By going the cheaper rout you get worse product quality. Chinese Fender Squire electric guitars will out sell an American Fender anyday, but the quality and craftmanship is completely different. You get what you pay for.
read this:
Meaning, it has to do with sales, not company worth. Big difference. Nintendo's sales to profit ratio is HIGH because they make a profit off of everything they sell. This is not a good or bad thing. Its a double edged sword. Meaning, Nintendo opted to make profit over say, giving you better hardware or a dvd playback feature or better graphics..ect
When you invest in something, you take a loss untill that investment reaps the rewards over time. For example, you could invest/ aka take a loss of/ 2 million dollars on buying out some apartments. You then rent those apartments and over the course of say 5 years, your investment/loss of 2 million is doubled to a total of 4million, meaning you just earned an additional 2 million dollars.
So, Sony is putting the best this generation has to offer in technology and services like free online play, they are taking the loss of developing a new and better cpu, of putting blue ray on the market...ect they take huge loss. But thats not stupid, its intentional, in order to have that big gain later. So with Home they will reap money from merketing campaigns from companies like Nike, or Fender or whatever, in addition to profit off of game and movie sales, in addition to licensing out technology. Namco is going to use the PS3 Cell processor in their new arcade machines for example. This means they invested in a lot of money and the seeds are planted, They will get their investment back, and more.
So when a big company invests in something big, taking the losses to make it available to the consumer, you have to expect a drop in their share while also expecting a spike in it later. Thats why you cant really take those numbers seriously.
Nintendo's market share is high because they, unlike other gaming consoles, put cheaper old school technology in the wii and charge more so that no matter what they wont lose money. The problem with this is, they have no obligation to provide you with good games because no matter what they will never take that initital loss. If you take an initial loss, you have more reason to provide better services and games because you want to get that money back and then some. Its the difference between buying a guitar that was made in china in a factory, with cheap wood, or say in the US with say maple wood and not in a factory but by a professional. By going the cheaper rout you get worse product quality. Chinese Fender Squire electric guitars will out sell an American Fender anyday, but the quality and craftmanship is completely different. You get what you pay for.
read this:
