Business

BUSINESS

Jonathan's blog

A CDNIS STUDENT BLOG

Japan PEST analysis

Opportunities Threats

Political New policy regarding anime and games

Social and cultural Gaming consoles are very popular in Japan. Games are seen as “unhealthy” towards society.

Too much competition from other games.

Economic One of the biggest gaming markets Earthquake recovery efforts

Technological Japan is one of the leading developers in the video game industry. May need to be constantly updated to keep up with new technology.

Political- There are no opportunities in the political section, however, there is a new policy which comes into effect in July that can have a significant impact on the expansion of the video game industry. This policy involves a revisit on the age restrictions of related media and may reduce Nintendo’s targeted population. This might cause Nintendo to lose many under aged customers, which can significantly impact Nintendo due to the nature of their games. However, since Nintendo’s games tend to be family oriented in nature, this policy most likely will not affect Nintendo that much.

Social and Cultural- Gaming is a very popular hobby in Japan, therefore there is a lot of potential for expansion. However, Japan believes that gaming usually denotes a negative effect towards society, therefore games are deemed as “unhealthy” for the average citizen. Although gaming is popular, it is not one that has merit, promoting such cause may cause the citizens of Japan to protest against Nintendo. Also, there is way too much competition due to the amount of market share Sony has on it’s PSP in Japan.

Economic- Japan is the 3rd most biggest economy in the world, and the gaming market in Japan is extremely predominant due to it’s popularity. However, due to the recent earthquake, Japan’s economy has temporarily taken a turn for the worse. Also, expenditure on entertainment has decreased while expenditure on essential supplies such as food has increased. It may be a...