By using this site, you agree to our Privacy Policy and our Terms of Use. Close
SaviorX said:
Squilliam said:

I haven't tried to. All I said was that the Wii isn't going to make the industry massively profitable overall. It doesn't matter how they approach the Wii, its just a function of the market that as long as there are companies which are profitable there will be more entrants into the market until the average profit is simply a return on capital investment and nothing more.

Did this same situation occur with the Playstation 2?

 

Average profit doesn't sound like it should be used in this sense either. Some games succeed, others fail, so the average should just be a break-even balance.

Im talking about the overall balance of the industry. In essence you can't save the companies from themselves. However in this sense as the sales/revenue ratios are vastly skewed towards a few blockbuster selling games the majority of games whatever system you care to think of will lose money. My point is that the Wii is no exception to this. My other point is that a more restricted entry and less competition means that in a less competitive market there is a possibility of gathering a higher profit margin on average industry wide.



Tease.