Week 2 EOC: Boston Consulting Group - Video Games

"Best Buy said some of its stores ran out of their supply of iPads and accessories for them in the first 10 minutes they went on sale." This product would represent a "Cash Cow" on the BCG matrix.

http://www.bizjournals.com/sanjose/news/2011/03/14/apples-ipad-sales-blow-past-projections.html

 "NPD points out that a large fraction of software sales in the video game industry have shifted into apps for smartphones and tablet computers, and those app sales are not included in the firm's numbers. The group claims that 23% of software sales in 2010 came from app sales for platforms like the iPhone." App sales are up and cutting into video game sales. Many app's are "Cash Cow's " for the companies that invented them and every app sold represents time spent away from a video game to the video game industry. So, app's cost very little

http://www.dailyfinance.com/2011/04/15/video-game-sales-are-down-but-industrys-not-sure-whats-up/

"For now, video game companies like Microsoft and EA aren't saying how much the rise of app games may be hurting them. Indeed, the industry is in such a state of flux that they may not know." eventually, sales of hot consoles like Kinect will be badly hurt as the number of apps available for portable devices grows further

http://www.dailyfinance.com/2011/04/15/video-game-sales-are-down-but-industrys-not-sure-whats-up/

More and more of the video game industry will be putting out "Dogs" and "Question Marks" since their "Star's" and "Cash Cow" are moving over to App's where the grass is greener