Is Nintendo Destined To Live Forever?

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The near apocalypse of video games in the early 1980′s could have ended them before Nintendo’s reign as video game king began. The insurgence of competition during the 1990′s could have left Nintendo in the shadows, for “cooler” and trendier offerings. In the previous generation of gaming consoles, the Nintendo Gamecube came in third place for sales. Some were writing off Nintendo, forecasting that they’d go the way of Sega and become a software publisher exclusively. Can you imagine playing a Mario game on the Xbox? Yea, it’s crazy to think about.

During all these periods of time during Nintendo’s two decade long (plus) lifespan, it could have gone sour for many reasons. Yet, Mario & Co. keep treading on and now they look to be as strong as ever. It’s hard to imagine, but less than 3 years ago most analysts weren’t giving Nintendo an ice cube’s chance in hell for dominating the current gen console “war”. Microsoft, and Sony looked to duke it out over who would lead the way into the High Definition age of entertainment.

Nintendo saw where this trend was heading, and instead decided to branch off and create their own little niche in the new gaming world. A savvy pricing structure, cheaper hardware components, and a fresh new way to play video games led a revolution in gaming that is still going strong. The Nintendo Wii has put its third Christmas season in the books, and it was yet again the ‘hot’ item to get under the tree.

Nintendo’s story is unbelievable as much as it’s inspirational if you look at their history. Miyamoto, the brains behind most of Nintendo’s franchises represents the company’s unlikely journey to the top. His father was a English teacher in Japan, yet he admits to knowing very little English. Miyamoto was originally hired as a staff artist in 1977, with his first major project being Donkey Kong. Can you see yourself sitting in on those early Nintendo staff meetings? His big ideas for ushering in Nintendo as a successful company were a big ape, and at the time a nameless ‘Jumpman’.

Mario Nintendo
A Plumber As The Savior Of The Video Game Market

All of this history of success, faltering, and now re-emergence seems to prove that Nintendo will always be here. Who’s poised to contend with them at this point? As reports surface of Microsoft, and Sony laying off thousands of employees, Nintendo is sitting in the black. Every Xbox 360, and PS3 that gets sold actually is a loss of profit for Microsoft and Sony. While Nintendo actually makes money from their hardware sales.

If you want the largest indication of the power of Nintendo, compare their stock prices from 2004 to 2008. The closing price for a piece of Nintendo stock in 2004 was $11.75. Now, even during hard economic times Nintendo is trading at nearly $50/share.

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Is it fate that Nintendo saved video games from the great depression in the 1980′s? Is it fate now, that during the largest recession that the United States, and the world is facing Nintendo is selling just as well as it was during launch?