Nintendo was founded in 1889 and have been operating in the video game console market since 1977 and is a leader in the handheld console market. Nintendo have released four generations of gaming devices over the past two decades and have constructed a strong portfolio of titles and managed to build a highly recognized brand name, within the video game industry (MarketLine, 2014). The video game industry has over the years grown to a $30 billion industry (OBrian , 2007) and is dominated by two giants: Sony with its PlayStation and Microsoft with its Xbox. In 2006 Nintendo introduced Wii (Nintendo, n.y) as a contrast to the competitors' products and generated $8.26 billion in revenue the same year. Nintendo sold millions of units of Wii every month during the first years and was not even able to meet demand. The Wii differentiated by trying to bring non-core gamers back to gaming and was characterized as a blue ocean strategy, because of Nintendos strong value innovation of many new customers (Osterwalder, 2007). In 2012, Nintendo released the follow-up to the ......

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