Chapter 117 Toyo
Lei Liquan's good mood was somewhat dispelled by the news brought by Panasonic's manhole cover.

In the field of home game consoles, no product from any company can compete with Orange Technology. The game "Super Mario" is a super plug-in for the Orange Game Console. It can be said to be able to sweep the entire home game market and form a certain degree of monopoly.

In the previous life, Nintendo perfectly explained this point by using the Famicom and "Super Mario". Countless game manufacturers around the world who succeeded each other ended in failure without exception.

Therefore, Orange Technology is not afraid of any competitors.But Lei Liquan must also be taken seriously, because the name of Nintendo in his previous life was too famous.

Panasonic Manhole Cover is not as optimistic as Lei Liquan. He said: "In terms of console quality, Nintendo's game consoles are much worse than Orange game consoles. But in order to compete with Orange game consoles, Nintendo plans to start with price. According to what I have received According to the news, their retail price may only be 85 US dollars. In this way, the shortcomings of the Orange game console are reflected. The price of the Orange game console is too expensive, and many players cannot afford it."

Lei Liquan thinks that Nintendo is brave enough to make it clear that it wants to start a price war. A game console costs US$85, which is less than twice as cheap as an Orange game console.

Lei Liquan looked at the Panasonic manhole cover and asked: "The retail price of Orange is US$180, while the retail price of Nintendo is US$85. Is Nintendo prepared to dump it at a low price?"

Panasonic Manhole Cover also looked at Lei Liquan, spread his hands and said: "They are trying to seize the market through low-price dumping. It is obvious that they are prepared in this way."

Lei Liquan thought for a while and said, "Mr. Matsushita, what do you think will be the effect of Nintendo doing this?"

"Relying on the price war competition that has occurred in shopping malls in the past is the only way to quickly expand market share in the short term, and the effects are very obvious. However, this game console price war has never happened before. What will happen then? Don’t dare to judge arbitrarily.”

Lei Liquan felt that Panasonic Manhole Cover was obviously too conservative and lacked the confidence to defeat all opponents.

"I think game consoles are a relatively special emerging industry. They not only rely on hardware to attract customers, but software games are the core factor in attracting gamers. Price wars can only attract players in the short term, and they will eventually be abandoned by players!"

Lei Liquan's meaning is very straightforward. If it is just a price war for consoles, it will not have any effect. Unless Nintendo develops classic games like "Super Mario" to attract players, it will be possible to successfully seize market share.

Lei Liquan thought about it for a while. Panasonic Manhole Cover was also a senior in the gaming industry, and then asked: "Since you took the initiative to talk about this, you should have thought of a way to deal with it, right?"

Panasonic Manhole Cover glanced at Lei Liquan, and he did have a way to deal with his competitors.

The cost of research and development of consoles is huge, with hundreds of millions of dollars invested in research and development every year. Most small businesses cannot afford it. However, the investment in game software is very small, so most companies can do it, and even individuals can develop it.

"In the Japanese game market, there are hundreds of companies developing game software. Game software needs creativity. Currently, in order to obtain classic games, Nintendo opens its console system to all RB software manufacturers and invites these manufacturers to develop consoles equipped with them. system games. Moreover, Nintendo will also reward outstanding game developers."

"We can also do the same. This will cut off Nintendo's retreat, and it will not be long before it will be eliminated from the market. We just need Leisheng to also let go of the Orange Game Console system."

Forming an alliance of small software manufacturers was the key to Nintendo's success in the previous life. It authorized RB's game software manufacturers to develop games for the console system and conduct joint sales.

Game consoles are developed and produced by Nintendo, and game cartridges are developed by software manufacturers.Just like the share-sharing system for movie theater distribution, if a film fails at the box office, the theater chain will not suffer any loss.If the film is a hit at the box office, theaters will share the revenue according to the agreement.This is a strategic cooperation that shares weal and woe. In order to stifle console competitors, there is no reason to oppose such a policy.

Lei Liquan said to the Panasonic manhole cover: "In principle, I agree with your suggestion to liberalize the host system, but it must be high-quality game software to be jointly sold with the Orange Game Console. Not just any junk software can be cooperated."

Lei Liquan will never allow shoddy games to be put on the Orange console system. This is smearing the Orange brand, but he will also not refuse any alliance request from game manufacturers, because this is a strategy to attack Nintendo.

Seeing Lei Liquan relent, Panasonic said: "I can be responsible for establishing alliance channels for software manufacturers, but if I do this, Nintendo will definitely complain to the officials. In order to prevent official intervention, it needs to expand the sales scope of joint venture products, and the more foreign exchange it will earn. The officials have no excuse to exert pressure."

Panasonic Manhole Cover has said so much from its eloquent words, but in fact, it just wants to share more profits from the Orange Game Console.

When Lei Liquan made the decision to develop the Orange Game Console, he considered establishing an alliance of interests with the RB electronics manufacturer.Therefore, Lei Liquan had no objection to Panasonic's request for manhole covers.

From the beginning, he planned to give away most of the revenue from the Orange Game Console, and then make money from console licensing and software games. After all, all game manufacturers cooperate with the Orange Company.

Orange Technology currently still firmly controls the majority of the profits of Orange Game Consoles, and will gradually distribute the profits to its partners in the future, allowing them to fight for Orange Technology around the world.

Lei Liquan is by no means afraid of competitors, but is paving the way for the future.

Lei Liquan believes that in a few years, Orange Games will monopolize the global market faster than Nintendo in its previous life.

At that time, governments everywhere will intervene and initiate monopoly investigations.Lei Liquan made arrangements in advance and completed the distribution of interests in advance. Only when the interests are deeply tied will Orange Technology's partners fully engage in public relations.

Lei Liquan told Panasonic Manhole Cover: "Orange Technology will abandon the Asian market (except for mainland China and Hong Kong), focus on operating in Europe and the United States, and let the joint venture products be sold in Asia in the future."

In fact, the share given up by Orange Technology is not very high. The only Asian sales areas currently controlled by Orange Technology are Hong Kong, Taiwan and South Asia, and the sales volume is not high in the first place.

But Lei Liquan's relinquishing sales in Asia can only be said to be an attitude. In this way, in order to repay the profits given by Lei Liquan, Panasonic will spare no effort to attack its competitors.

Both parties were very happy and reached a happy consensus on cooperation.Panasonic Manhole Cover seems to have been prepared for a long time, arranging RB actresses to accompany Lei Liquan.

Finally, Lei Liquan had another hangover...

(End of this chapter)

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