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Croatia is not a good indicator for Europe or a significant market. The main markets; France, Germany, Spain, Italy etc are countries that buy the bulk of consoles in mainland Europe. The xbox one is selling but once you take the UK out of the figures its just a fraction of ps4 sales. Price advantage has always been a huge factor in sales levels. Price drops extend the number of consumers willing or capable of buying a product due to hitting a level possible for their disposable income. Other factors do come into play like the product or branding but the xbox one is a good product just not class leading performance and the Microsoft brand while not the best brand is established in gaming. Currently though Microsoft are trying to sell a weaker performance level console at a higher price than a more powerful console with more attractive branding. Lets not forget that if consumers aren't buying them retail channels will gradually start to reject the product due to low sales. Consoles are a popularity contest and as one becomes more popular than others that actually leads to even more popularity as it becomes the major format. It gets more support and better developed games as there is more money to develop for it due to a higher install base. Microsoft can not afford to let ps4 win so easily. It won't be long before there is a 2:1 ratio of ps4 to xbox one in the world. That will be hugely damaging to the Xbox one. It doesn't have to be a permanent price drop, short term promotions can be used to shift more stock.

The important thing is to react to the market so the xbox one is not left behind.