Nintendo Co. SWOT and PESTLE Analysis
ID : 5271753| Feb 2023| 15 pages
COMPANY PROFILE -Nintendo Co. Ltd
Business Sector :Consumer Electronics and Software
Operating Geography :Asia, Japan, Global
About Nintendo Co. Ltd :
Nintendo Co. was founded in 1889 by Fusajiro Yamauchi. The headquarters of the company are located in Kyoto, Japan. It is a Japanese MNC and one of the largest video gaming company globally. The founding name of the company was Marufuku Company, Ltd and it manufactured Hanafuda playing cards. The company name was changed in 1951 by the great-grandson of the founder, Hiroshi Yamauchi to the Nintendo Playing Card Company, Ltd. The Japanese word ‘Nintendo’ means "leave luck to heaven". Electronic technology was included within the company portfolio in 1970 with games of the Beam Gun Series which was introduced for the first time in Japan. This was the beginning which soon developed into the company’s current portfolio. The Famicom was a popular product of the company. Its popular gaming franchises today include Mario, Legend of Zelda, Metroid and Pokemon.
The vision statement of Nintendo reads, “Putting Smiles on the Faces of Everyone Nintendo Touches”. The mission statement is “Strong commitment towards production and marketing of best products and services”. The company has around 6,574 employees as per March 2021 records.
Nintendo Co. Ltd Revenue :
¥ 1,758,910 million - FY ended March 31, 2021
¥ 1,308,519 million - FY ended March 31, 2020
Competitive Analysis of Nintendo Co. Ltd
SWOT
PESTLE
The SWOT analysis for Nintendo is presented below:
| 1. Established brand - synonymous with gaming and entertainment 2. Strong performance of Nintendo Switch and 3DS console 3. Strong focus on innovation driven by research and development activities 4. Healthy 3rd party developer ecosystem on Switch | 1. Only gaming devices may impact growth 2. Limited presence in emerging markets 3. Majorly dependent on foreign manufacturers |
| 1. Utilize strong research & development capabilities 2. Capitalize on success of Pokemon GO 3. Nintendo Switch Online service expected to bring in significant subscribers 4. 5G to increase prominence of Cloud gaming in video game industry 5. Collaboration for movies and theme parks | 1. Intense competition from players like Sony and Microsoft 2. Rise in availability of counterfeit gaming products in emerging markets 3. Global chip shortage to impact production |
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Detailed SWOT Analysis of Nintendo Co. Ltd
Strength
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Weakness
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Opportunity
1. Established brand - synonymous with gaming and entertainment: Nintendo is an established and popular brand globally and is synonymous with gaming. It enjoys the trust and loyalty of its customers. Nintendo’s core values – originality, flexibility and sincerity also add to its strength and make it reach its entertainment goals.
2. Strong performance of Nintendo Switch and 3DS: Nintendo Switch launched in March 2017 has seen strong demand with more than 92.87 million hardware units sold and 681 million software units sold as of Sept 2021. Nintendo 3DS gaming console has also seen strong sales with 75.94 million hardware units and 387.42 million software units sold as of Sept 2021. 3DS software are also showing positive signs, which will ensure profitability in the software segment.
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Threat
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References used in Nintendo Co. Ltd SWOT & PESTLE Analysis Report
1. Nintendo Annual Report 2021- https://www.nintendo.co.jp/ir/pdf/2021/annual2103e.pdf
2. Nintendo Annual Report 2020- https://www.nintendo.co.jp/ir/pdf/2020/annual2003e.pdf
3. Nintendo company profile - http://www.nintendolife.com/companies/nintendo
4. Nintendo mission and vision - https://bstrategyhub.com/nintendo-vision-mission-values-strategy-analysis/
5. Nintendo profile and employee count - https://money.cnn.com/quote/profile/profile.html?symb=NTDOY
The detailed complete set of references are available on request in the 'Complete report' on purchase.
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In-text: (SWOT & PESTLE.com, 2024)
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Nintendo Co. SWOT and PESTLE Analysis
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