Sony's Battle for Video Game Supremacy

Abstract

This MIT Sloan Management case study is set when the launch of the Sony PlayStation 3 is a mere week away and Sony Corporation’s CEO Howard Stringer is reflecting on the past 30-year history of the video game industry while crossing his fingers that the PS3 will have a successful launch in an increasingly cut-throat industry. Learning Objective: To illustrate how network externalities and complementary assets affect strategy and competition. This case study is part of the MIT management studies "Industry evolution" stream. Industry evolution is the study of how industries begin, grow, mature and adapt to changing business environments.