| Mr Khan said: Right. Them hitting #2 in Japanese market capitalization had to be based on something, given that they were surpassing companies far larger and in far more vital industries
It couldn't last |
They became the #2 largest Japanese company because it was believed they would continue to make the same types of products.
If you invested in a company because their hit FPS was going to sell 20 million copies, would you be pretty pissed off if 4 years later, the only follow up to the game was a single map pack? That's how people feel who invested in Nintendo because of Wii Fit, which has had no follow up except Wii Fit Plus after 4 years. Go down the line... Brain Age, NSMB, Wii Sports... When it looked like these games were the future, the stock price soared. When it became clear that Nintendo doesn't care about these games, the price plummeted.
This is not LOL INVESTORS ARE DUMB.
"[Our former customers] are unable to find software which they WANT to play."
"The way to solve this problem lies in how to communicate what kind of games [they CAN play]."
Satoru Iwata, Nintendo President. Only slightly paraphrased.
