The can be a threat for CanGo with
The art of business is taking a new shape in the contemporary world with the current advancements in modern technology. With the advancing use of computer technology, people have introduced new ways of selling and shopping online through the internet. Today, a variety of products and services can be acquired online and this explains for the vast benefits which can be realized in the heightening wave of technology. One common sector where online business has been realized is in the online shopping and gaming industry which has developed rapidly of late (Thompson, 2007).
CanGo is one of the few companies known to have made a fortune in this sector. As a reputed seller of online books, games, CDS and DVDs, amongst other cutting-edge services and products, CanGo remains a real fun place on the Web. The company is reputable for offering the best online products and games as well as maintaining excellent service in terms of support and delivery of products.
CanGo is a target for those customers, especially the Gen X and Gen Y people who as we know would find great fun in online games and entertainment.However, like any other form of business, competition has been commonplace in the online shopping and gaming industry due to the rapid growth and expansion in this sector. This can be a threat for CanGo with the onset of more gaming stores recently.
This paper is a market research and analysis on the state of the online shopping and gaming market in regards to market size, trends, demographics and potential. It also observes the status of CanGo’s competitors in various segments of the market and several competitor’s services and product offerings have been examined in relation to that of CanGo. Analysis of online shopping and gaming marketAs technology continues to take shape, E-commerce continues to advance and people are getting drawn into the sector. This is due to the diverse benefits aligned to the system because the transactions are conducted in a systematic way. On the technological platform, people all over the world are finding it easy and convenient to access products and services of their interest. The online entertainment industry is also taking a big turn with consumers having to spend one out of every three dollars for entertainment, on video games, This is more than they would spent on other forms of entertainment.
Recent online gaming statistics from Nielsen indicates a bulging market worth over $15 billion. According to Griffiths (2008), 300 Million people globally are estimated to have been accessing online gaming whereby 100 million would consistently play the games. 42% of these gamers would be female while 58% would be male. Specific market segments for online gaming include moderate market gamers, gamers in the hardcore market and gamers in the general market. Demographical statistics for online gamers indicate that 70% for general market gamers, 20% for moderate gamers and 10% for hardcore market gamers.However, hardcore market gamers are estimated to generate 70% of the revenues generated from the gaming sector.
It is also estimated that there are over 40 million registered network accounts of PlayStation (Griffiths, 2008). All these foretell a big potentiality in this industry. The same can be said with online shopping where books are rated top on the most purchased products followed by other products such as clothing, shoes, accessories, DVDs(Videos), Airline tickets, games and electronics.As people’s lives become more cluttered and fractured, consumers all over the world have turned to the convenience of the internet for shopping. CanGo’s competitors in various segments CanGo continues to face stiff competition from competitors such as Amazon, Apple, Sony, EBay Microsoft and Electronic Arts.
For this paper, three competitors are analyzed and they are Apple, Sony and Microsoft. Product and service offerings for these companies that continue to pose great competitive disadvantage to CanGo include; iTunes. com, Sony Play Station 3 and Microsoft XBOX LIVE respectively.Analysis of the Apple-iTunes Apple products and services such as eBay. com have continued to pose great competition for CanGo. Apple enjoys a strong and convenient market performance of over thirty years of service.
Apple works around its vision which aims at ‘Vision Explanation. ’ The company has a strong and focused staff committed to offering the best of their products and services to its loyal customers. Objectives and goals have been put in place to serve as the company’s lodestar in all its operations. Apple has continued to dominate the industry for online music with its iTunes.The sales for digital music from Apple are rated higher than that of any other company. This actually remains a big challenge for CanGo who are yet to catch up with the big-rated e-Commerce players such as the Apple. Sony Play Station 3 Sony PlayStation 3 is arguably the cutting edge in the gaming entertainment sector.
It is a product of Sony which has proven to be a dream for hardcore gamers since it was established. Sony is a strong company known for striving to offer the greatest and of course the latest gaming software and hardware to its customers (Kurzak, 2008).They are also known for their high-quality products that would outlast any one of their competitors. CNN estimates Sony’s employment count to range over 163,000 in diverse fields that would range from gaming software and hardware, other hardware, business personnel, music as well as movies among other sectors. However, the hardcore gaming category are the most customers for Sony PlayStation 3 and this serves as the company’s biggest weakness compared to CanGo’s whose products are fit for all categories.
Microsoft XBOX LIVEXbox 360 is the successor to the Xbox and it is a video console by Microsoft. This is arguably part of the seventh generation of the video games. According to Thompson (2007), Microsoft Corporation is indeed the biggest software corporation globally with strong innovative products’ reputation and worldwide name recognition.
The company also enjoys high stability in the E-Commerce industry and this makes it a giant amongst its competitors. The company enjoys a flexible workforce of qualified and contingent workers in all departments.It has also been observed that, Microsoft maintains a relatively fast product development style which enables for timely release of products. All of these strengths place the company ahead CanGo with its products and services. However, Microsoft is no key player in the internet, thus having less concern in the E-commerce industry. This is one of the weaknesses that Microsoft has over CanGo and other big waves in the industry. References Blanchette, K.
(2004). Effects of MP3 Technology on the Music Industry: An Examination ofMarket Structure and Apple iTunes. College of the Holy Cross. Retrieved September, 30 (6), 204. Kurzak, J. (2008). The playstation 3 for high-performance scientific computing journal.
Computing in Science and Engineering, 10 (3), 84. Thompson, C. (2007). Halo 3: How microsoft labs invented a new science of play.
Wired Magazine, 15 (9), 26-29. Griffiths, M. (2004). Demographic factors and playing variables in online computer gaming.
CyberPsychology and Behavior, 7 (4), 479-487.