Nintendo’s 8-bit console, the NES (Nintendo Entertainment System, or Famicom in Japan) achieved a high adoption rate in many markets during the 80s. In the years following the console’s launch, the catalog of exclusive titles for the console grew and technology improvements made possible the production of competing consoles with superior performance. To protect its dominant position in the market, Nintendo should

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continue to develop exclusive titles for the NES as this will close any opportunity windows for new console competitors.

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develop a new console once substantial technology improvements become available in the industry, as this will open an opportunity window for new console competitors.

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develop a new console once technology improvements become available in the industry, as this will open an opportunity window for new console competitors.

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increase the subsidy on the price of its console as this will close any opportunity window for new console competitors.

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Nintendo’s 8-bit console, the NES (Nintendo Entertainment System, or Famicom in ...

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