Question

In: Economics

Nintendo launched the Wii U console in 2012 but stopped production in 2016 prior to the...

Nintendo launched the Wii U console in 2012 but stopped production in 2016 prior to the debut of the Nintendo Switch. The Wii U was considered a relatively complicated system. The tablet controller only worked about 15 feet away from the home base console and was not portable. In addition, there were very few new games supported by the system. During this time, both Sony and Microsoft's Xbox systems outperformed and outsold Nintendo. Based on this description, what was the primary reason for the Wii U console's failure?

a. Wii U offered a poor match between product features and customer desires for portability.
b. Nintendo underestimated the size of the market.
c. Nintendo had inadequate distribution.
d. Nintendo's Wii U was priced too high.

Solutions

Expert Solution

Nintendo launched the Wii U console in 2012 but stopped production in 2016 prior to the debut of the Nintendo Switch. It was considered a relatively complicated system because the tablet controller only worked about 15 feet away from the home base console and was not portable. In addition, there were very few new games supported by the system. During this time, both Sony and Microsoft's Xbox systems outperformed and outsold Nintendo.

Based on this description above we can say that, the primary reason for the Wii U console's failure was - a. Wii U offered a poor match between product features and customer desires for portability.

This is because the main problem with Wii U console is mentioned in the above description which doesn't satisfy the customer's needs and hence failed but at the same time other brands innovated and outperformed. Hence it is important for the electronics brands to innovate regularly to survive in the market.


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