Xbox is a pastime video game manufactured by the Microsoft Company. On November 15, 2001 it was launched in North America, on 22 February, 2002 in Japan, and on 14 March, 2002 in Australia and Europe. Microsoft attacked on the console market of gaming by introducing Xbox in the market. As a part of sixth generation gaming, Xbox has battled with Sega’s Dream cast (before Xbox came out for sale it has stopped the American sales), Nintendo’s GameCube and Sony’s Play station 2. You have to pay for the Xbox games while PS2’s online service is free of cost.
Strengths
• Xbox is of very low cost than many other game products. Such as, its main similar opponent PS3.
• Xbox is the first online product and you can download and enjoy different games. Also, it gives you information of the upcoming games as well as games which are absolutely free.
• You may find advancement in the upcoming Xboxes from the previous ones which are already in the market.
• Xbox is a very strong product used for entertainment.
• After its release in the market it gained more popularity and got ranked as the number one gaming console.
Weaknesses
• It has a straight competition with Nintendo which is low cost and has a huge buyer’s base, which makes it a main opponent of Xbox in the market.
• It is found that Microsoft has started making low priced and despicable Xbox featuring video streaming.
• It is making pricey hardware and games.
• After the increase of its products prices its market share is getting low.
Opportunities
• By doing partnership with the Hollywood studios they will gain an everlasting image. As Hollywood will help them grow internationally.
• The diffusion of new markets can also help them promote their business.
• By joining hands with some well known company they will be known widely and this thing will help them grow their business around the globe.
• Introducing their new offers or services directly to the computers, so that the clients can make deals just by sitting in their homes. It will also help their business grow.
Threats
• As Microsoft has been making cheap Xbox for video streaming this may affect their image on their customers.
• The main challenger to Xbox is Nintendo which has a low cost and has larger consumer base.
• Antitrust issues are growing day by day in Europe. This may have an effect on their image in the market.
• If Xbox ever drops its real and dependable image in the market then it is going to be really hard for them to have that place again.
• Due to the obstacles in the hardware, their production will suffer ; eventually leading to a reduced customer base
References
Xbox, Official Company Webpage, (2012): http://www.xbox.com/en-US/ Retrieved: 25th Nov, 2012
Yahoo finance, Xbox, (2012): http://finance.yahoo.com/news/microsoft-making-cheap-xbox-streaming-173944501.html Retrieved: 25th Nov, 2012