Have I or have I not been maintaining that this industry is its own, with it's own business models and preformance equations and records? I think I have. Go back and read my posts and you will see. I compared industries because people who want to convert to a "Super-console" model are in favor of a "VCR" type business model. Though you didn't come out and say it using those words, you were, in fact, comparing industries. Also, I never alleged that the industry couldn't be doing better. All I'm saying is that a "Super-console" route would not be the solution to our economic problems, as the multi-platform model has already been root.Quote:
Originally posted by burgundy:
I never compared industries. All of my comparisons stay within the game industry.
Your reasoning is misplaced. Just because the industry is making money with its current model doesn't mean it couldn't be doing better with a better one. Everyone keeps saying the film and game industries are apples and oranges, and I agree - which is why comparisons of their profits are meaningless.
This is grossly incorrect. If the company does not target a market, there are no losses incurred from that market. Accountable, economic, or otherwise. The company's economies of scale, and general economies are focused on the target, and do not deviate. Therefore, the only losses to be had are a direct result of performance in the target. Here's a scenario for you: You own a balloon manufacturer. You know that balloons will sell in a specific demographic, children (for the sake of argument, will split everyone into two catagories: adult or child. Also, everyone is responicable for their own purchases, and secure their own disposable incomes). So, you market your balloons accordingly. Now, adults are not buying your balloons. But children buy them like wild fire. What you are alledging is that the adult market is lost revenue. It isn't. You are preforming outside of their market, and thusly they have no impact on your business, economically or otherwise. If children stop buying your balloons, then losses are incurred.Quote:
And lost sales to consumers outside of the console base may not count as accounting losses, but they are certainly economic losses in the sense that they are lost opportunties for revenue.
Surely...accept your not taking into account the hardware providers. Exclusivity deals help the industry in that they sell systems. It's the way it works. Without those exclusive games, it wouldn't matter what system you bought...which you take up as being your point; however, this industry is forwarded by propriety. Eliminate all competitors, you suggest, and it'll be better for the consumer. I agrue that it won't because whatever company owns the hardware that becomes "standard" will remain the sole producer of the hardware, rail the software publishers with fees, and jack up the price for the consumers. Business is not as benevolent as you'd like for it to be.Quote:
Ignoring exclusivity deals (which transfer but do not generate wealth within the industry, and thus do not promote growth) and cross-platform development costs, any developer will most certainly be best off releasing a game for every possible console
