Nintendo plans to make 25 million to 30 million Switch game consoles next fiscal year

[DonFerrari]

Miyamotoo said:

DonFerrari said:

There is no logical approach that make overproduding 5M for shipment plus the 3M or more in channel. That is to much incurred cost. It would be a really high discount to justiify the added cost of making and storing that much consoles?

Nope you are talking 2019, if it produces 30M in 2018 and keep 5M not sold just to sell on a 2019 explosion (how big do you think it will explode after selling 25M? 40M? Because 5M would be 3 months plus the 2 months on channels... it makes zero sense).

I'm overeacting about how silly is to plan to add costs for no benefits just to make some exagerated expectation on a forum go even higher.

Of Course there is logic if you had already stock issues, you can potentially again have stock issue (again because potential shortages of Switch parts), and if you actually still don't know how much actually Switch could sell without any stock issues.

No I talking about FY 2018. that starts on 1. April 2018. same year that this article is referred to. But maybe they can sell 25m or even hole 30m, we dont know that.

But you dont know if they will add costs or there is not benefits, again we dont know reason why maybe they want to produce more units than they can ship, maybe they curently have very good deal for some Switch parts, or point that prevent possible future droughts because possible future Switch components shortages on market, those are all logical resones.

If there is logic explain it.

They had stock issues and the solution is to overstock? If they have good contracts for the parts they are not going to get into issues to provide their plan.

They will start to produce in 2018 and you expect then to produce at least 20% more than they will sell.

ANY stock that isn't moving is cost incurred, at least study a little the subject before discussing it.

You are trying to make reason of your assumptions, even if they aren't based on anything solid.

So you can't provide anything more than a wish for Nintendo to produce 30M. Show me any case of a company that planned to produce 50% more than sold on a year.