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HollyGamer said:

You cannot compare Pepsi with Nintendo, despite they have a good result on their sales report, every video game market is affected by smart device like , mobile phone and gaming tab, Staying quite is not a wise decision to stay on the same position, while Nintendo may satisfied with their current market and income statement, bigger threat is comming and one of them is from their own loyal fans, you know their games is only cater for the veteran and small avid gamer who like their type of games, and within  a time, many will grew up, getting old and not playing their game anymore, while Nintendo keeping the same formula again and again.

and off course there is no denying Nintendo making a lot of profit, but is it enough to warant Nintendo from staying in the Industry?


You think Pepsi has no threats of their own? They have more threats then any dedicated gaming company and more competitors as well, I'll give you a good tip with value investing and looking into a company, when investing you look at key things other companies can't replicate, in Nintendo's case their brand has powerful IPs that not only have stood the test of time but are only equalled by franchises that are huge. No mobile device, other platform or tablet is going to have Pokemon, Animal Crossing, Mario, Mario Kart Zelda etc... and these games will always generate a minimum commercial performance at the end of the gen for their platforms. It may surprise you that a lot of Nintendo's fans are actually older and many have grown up which is why they're still fans they don't take the mainstream at face value, each installment of their games is different which is why they're still going even after 30 years.

The main threat for Nintendo is their own marketing, each gen the marketing department behaves randomly, GC they were terrible, Wii they were brilliant and this gen they're missing in action. Mobile devices will never shift consoles or handhelds because firstly their interface is limited, secondly it would require full heavy weight support as in games on the level of MH4 and so on not ports of older games, mini games and publishers putting wayward games declaring it as support. This isn't like PCs to consoles, it's more like back in the PS2 days where it was the rise of Facebook games and people were saying it's a threat when in the long run it isn't because the are still significant differences that one can never replace the other.

Nintendo isn't content with their position, they already have plans for future gens which were outlined to investors last year, all platform holders are doing this, these plans are long term and aren't just executed over night. These plans for example include ideas like their unified softwar platform that links their hardware together meaning future platforms will always have the features of previous platforms or be compatible with previous peripherals.