Can Sony Succeed in China

Running head: CAN SONY PLAYSTATION 4 BE SUCCESSFUL IN CHINA?

Can SONY PlayStation 4 be successful in China?

New York University Polytechnic School of Engineering

CAN SONY PLAYSTATION 4 BE SUCCESSFUL IN CHINA?

Abstract

SONY is one of the biggest electronic technology companies in the world. In early

years, SONY focused on developing audio and video device and technology. Many popular

audio and video formats and standards were created by SONY. Later, in 1994, SONY

released PlayStation, which started a brand new era of game consoles. Nowadays,

entertainment and games is becoming a more and more part in SONY’s business.

In March 2015, PlayStation 4, the fourth generation of this most famous game console,

released in China. However, there are some challenges SONY will face. Microsoft, one of

SONY’s main competitors, entered China market with its latest Xbox One game console

system months earlier. Furthermore, because of a government decision at the beginning of

21st century, China market is a very unique one in the field of electronic games and relevant

devices.

Once SONY decided to bring its games and consoles into China, these problems are

unavoidable. If SONY wants to be successful in China, they would be important test.

CAN SONY PLAYSTATION 4 BE SUCCESSFUL IN CHINA?

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Background

In June 2000, the Chinese Government issued an announcement to prohibit production

and sales of all kinds of electronic game business premises as well as electronic game devices

and consoles (Ministry of Culture of the People's Republic of China et al., 2000). This ban on

electronic game business totally closed the door for international game console companies

like SONY and Nintendo to enter Chinese market. Until September 2013, smuggling was the

only way for players in China Mainland to get game consoles, devices and games. In that

period, buying games directly from oversea websites was really difficult, so many merchants

started to produce and sell...