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First of all, you need to walk hand in hand with time and the changing scenarios, It a human nature where one never gets contented with whats on hand, there's always an urge for something better, We keep on desiring more exceptional and cutting edge gadgets, technology, an another important factor plays a vital role here, it was technology that asserted us to develop uni-coded 8 bit games and then, it went on and on, See around now, where are we? Today we have the best gaming consoles, flashy, emulative almost taking us into the world of existence although virtual but we're there but yet again, our mind keeps on asking what now? Necessity is the mother of all inventions and inventions or rather be said automation or up-gradation is never going to stop, untill the last man exists on the planet. Conclusion to this point is, 'Get in or get out of the way'.
"the public mentality, and the commercial competition"
The decline of Sega as a main video games consoles developper has a lot to do with the following two aspects:
1: The video game industry evolution over the1995/2005 decade.
Since the mid-90's, Sega was on a duopole position over the home video gaming platforms market with Nintendo. It held its position as the secondary main seller of video gaming systems and successful licensed products such as "Sonic the Hedgehog" until Sony disrupted the market by introducing the first "Playstation" console. Sega's response to the Sony "Playstation" was to launch the "Saturn" video gaming console, which unfortunately didn't meet a wide public. But despite the relative failure of the "Saturn", Sega was still able to compensate the losses of the Saturn by earning profits with its "arcade" department (thanks to popular titles like Sega Rally, Virtua Cop, Virtua Fighter titles). Unfortunately for Sega, the arcade department started losing money by the early2000, while the situation changed on the consoles front. After the release of the "Dreamcast" video game console, Sega was now earning money with its "Home Entertainement Systems", but the arcade department was now the one making losses.
2: The ability (or rather lack of ability) from Sega to work as an ambidextrous company. This inability from Sega to manage profits from both departments (Home consoles and Arcade booths) ultimately lead to the restructuring of the company, and withdrawal from the video game industry as a hardware manufacturer (both in consoles and arcade) to focus on issuance of highly profitable licensed products on its former competitors platforms (for example "Mario and Sonic at the Olympic Games" released on Nintendo Wii console).
I therefore think that, more than proper Marketing and4P's strategies (which Sega had), it is the inability for Sega to simultaneously forecast the video game console industry evolutions (arrival of Sony, and later Microsoft with the "XboX", development of online multiplayer games, development of the industry towards "casual players") in line with its Arcade department, that ultimately had Sega losing money, first on the consoles department, then on the arcade department.
To consider the way Nintendo faced up Sony and Microsoft: Nintendo didn't try to overpower the playstation3 and Xbox360 consoles through computing power (because developing and manufacturing powerful video games chips involves high costs), it did through creative and insightful development of new ways of playing, such as the WiiMote. Sega had all the necessary experience in arcade booths to come-up with similar innovation, but it didn't. Therefore staying always one step behind the competitors and therefore, behind the market.
Product/market decline of SEGA video game could have been caused by some of the following reasons;
1. Marketing
2. Quality of product
3. Change in people's taste
It is very important to have effective marketing strategy in order to gain/maintain market share. The first two (Ps) - Product and promotion, even if the product is good, effective communication is very important in two main ways. Firstly, people will need to be informed about the product, and the benefits of using the product. Secondly, people by nature are bound to forget, so they need to be constantly reminded about the product. In short the4 Ps in marketing are very important. The features of the product, the colour, weight, user friendliness must be good. The third (P) - place, here we focus on distribution of the product, which must be done effectively. The fourth (P) is place, the accessibility of the products must be easy. SEGA might have been complacent, as a result of its past successes and failed to conduct proper market research, so as to make continuous improvements. People's needs may change with time, and also other competitors who came in may not have been given serious consideration by SEGA and this could have lead to the product/market decline of SEGA video games.
sometimes the sega games low quality profile lead to loose or decline in the market .try to invest for good product quality games market will increase it sales automatically, i as i told before customer satisfaction is the main reason
The avaliablity of different internet and the aboudnace of diffrent games online and also its a choice matters.
not really knowleageable about this but i will research and findout, seems interesting case study
Not keeping pace with the market and following up on the changes and renewals made by compettors and staying in the safe area and thus losing the market
