Week 2 EOC: Boston Consulting Group Model

Following the wake of the recession in 2009, the video game market has steadily began to recover and fall back into its normal ways, with consoles such as Ps4's and X Box Ones dominate the market.  These two stars  controlling the market nearly unchallenged , leaving smaller start up consoles such as the Steam Machine in the dust. "Both the PlayStation 4 and Xbox One sold over a million consoles their first day on the market in 2013. After just over seven months on store shelves, Microsoft was up to about 5.5 million Xbox One sales and the PS4 had racked up 10.2 million worldwide sales."(http://arstechnica.com/gaming/2016/06/its-time-to-declare-valves-steam-machines-doa/, Kyle Orland)  Of course this doesn't mean that they can't be challenged from time to time by cash cows such as the Wii, and Nintendo. Their current product Pokémon Go is currently dominating the vast majority of phones world wide,  making the company go up by "25% Monday, adding $7 billion to its market cap in the process. Gamers may be hunting Pokémon on their mobile devices, but investors are hunting another sort of fictional creature altogether: the miraculous turnaround company, that can spin straw into gold overnight." (http://www.forbes.com/sites/erikkain/2016/07/11/will-pokemon-go-be-the-nintendo-cash-cow-investors-are-hoping-for/#7b3a315f5926, Erik Kain) of course only time will tell if Nintendo will be able to take down, or at least get on the same level as Sony or Microsoft. However, there is a new competitor in the market, VR Consoles, namely the Oculus Rift, Palmer Luckey had this to say, “Pre-orders are going much better than I ever could have possibly expected,” said Luckey. “There are a lot of people who are getting into virtual reality that I think are not even necessarily the gamers who have been waiting; they’re just hearing about it now or hearing about it recently and they’re convinced enough to pre-order. Hopefully they’re convinced enough to actually use it.” ( http://www.roadtovr.com/founder-oculus-rift-pre-orders-going-much-better-than-expected-sales/, Ben Lang) This question mark in the market can throw a wench into the world of video game consoles, and completely shift the market.