Words Of Wisdom on 02 May 2008
| NinjabreadMan said: Satoru Iwata said: Since their respective release dates, both PlayStation 3 and Xbox 360 have seen significant price reductions. Wii, however, has not seen any decrease in cost and there isn't likely to be one any time soon, according to Iwata. "… we are not foreseeing the necessity for us to do a price cut in this fiscal year. If it is predetermined that the hardware price shall gradually decrease, then that model reiterates the notion that early purchasers will suffer a loss, which I do not believe is the right business model," he said. "I believe that something must be wrong if we conduct our business with the premise that we will need to cut prices of our hardware as time goes on." Personally I think this is just a sign of the incredible greed of Nintendo. As time goes on all that will happen is an increase in the profits that Nintendo is making on each console sold, and none of it would be passed on to consumers.
Companies pursue different things, and clearly Nintendo is one all about pure profit. |
1) Nintendo is a business. Of course it's about profit. Without profit, they don't stay in business.
2) I agree with him on the fact that early buyers get hosed. It's called market skimming. You get all the buyers for a particular product at the highest level and then move it down getting each new level of buyers. Early buyers get it early but at a substantially higher cost.
