Tuesday, 10 September 2013

HA1 Task 1 - The Value Chain


Console Manufacturers
They tell the press and media, developers, publishers, social networking sites, and distribution and retail, that they are bringing out a new console so when it is out, the public can easily buy it from several locations, online or in store, depending on your preference. Companies such as Valve and Apple are now getting involved with the console war, with Apple making the ‘IPlay’ and Valve the ‘SteamBox’. Each year it gets more and more competitive.

Developers
If they need some extra help they are able to get additional employees from outsourcing from other companies. They also go to publishers so the product that they have made/making will be funded for when it is available. Also they will have to give a certain percentage of the profits to them. If it were not for the publishers then there wouldn't be any profits to begin with. Sometimes developers may get into contact with console manufacturers so when the console is out the product is available, a user is able to purchase the product on the console and use it.

Social Networking
Many businesses use social networking to give offers or to tell the public about something they have done or are planning. Publishers and developers will use this as well as distribution and retail. This is free advertising as well as they can see how many people ‘like’ or ‘follow’ them to help their profits become greater.

Outsourcing Companies
Companies may be hired when others need more help, when they do not have enough time. These companies may solely relay on this to happen otherwise they may not be hired. These companies may also tell press and media about the work they are doing.

Publishers
Publishers may use the press and media and/or social networking sites to market this product. Also publishers use distribution and retail to be able to sell and transport there product, especially if it is a console, but if it is a game then it may be purchased online, or on a mobile platform.

Distribution and Retail
Distribution and retail businesses will get games/consoles/products of many different people/places such as publishers and developers. Then will sell on to the public, they may also advertise this on social networking sites or marketing via press and media.

Press and Media
Press and media play a big part in the games industry as they are the main source of information to the public. But some developers do not use big advertising campaigns such as Overkill’s Payday 2, as the developers and publishers believe that they should spend money on the game. Not money on telling people about it.

Mobile Platforms
 Mobile platforms are very big today, as most people own a phone and most of those phones are smart/android phones that con hold and play many games. Even though these games are cheap, that is why they are very big since most people will think that the odd pound is nothing but with massive amounts of people owning and paying for these games it all adds up and becomes a great amount of profit. These games can be made by small teams too, maximizing the profits further. Such as Doodle Jump which was made by a programmer and a designer, and that turned out to be one of the most popular apps ever made.






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