China had had a ban over gaming consoles for the past fourteen years because the government was worried that violent games would harm the Chinese population. Recently, the ban on consoles was lifter violent games are not allowed yet, though. Microsoft was the first to launch a console – XBox One – in China. Despite the remaining ban over most games, millions of consoles have been sold already.
As the product positioning article suggests: “the first mover has a large advantage that can make up for other shortcomings”. In this particular case, other shortcomings may be the lack of popularity overall that X-box One has worldwide, since Sony’s Play Station 4 has bigger sales throughout every market. I find it an extra advantage in this case because costumers shall be desperate to buy the first console available in that country regardless of the brand. Hence, as the article states, Microsoft will finally have its “much-needed sales boost”. With that profit, they can eventually expand their market even more by improving its products’ shortcomings. Not only they will get costumers by being the only supplier in China, but they will achieve loyal costumers by immediately ranking #1 supplier.
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