leminnes / Member

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The Failure of Sony

Many people have been telling me that Sony won't fail because it is following the way of the future: HD. But I beg to differ. There is more into this game them people see and I decided to reply to someone on it on the forums. I posted it here because I think it might be blog material: The future of *visuals* might be HD. I actually do have an HDTV but I hardly watch the HD channels because they are all channels like Discovery which mostly has "Pretty Hiking Specials" and a lot of PBS Channels and 3 movie channels. It's just not enough, I watch regular channels far more. They're much more entertaining and have better content. This is much like when you look at the PS3 and the Wii. The PS3 is very pretty looking, sure, but it doesn't have much else. It hardly has any good games yet and I doubt it ever will because of the American Economy. The American Economy is a Mixed Economy which is a mix of Capitalism and Command Ecomomies. There are 6 Characteristics of an American Ecomomy. There are 2 that Sony are not following with their PS3. First is Freedom of Choice. Freedom of Choice is where people can buy what they want and demand determines production (There are two more but they don't have to do with this.) First people are not going to buy the PS3 because they don't want to, it is far too expensive and is going to have a hard time competing in an American Market Place where a Entrepreneuring Nintendo and a Competing Microsoft are against it. The other is Competition, which I have touched on already. This is where Sony is really failing. Competition is won by Lower Prices and Better Quality in Similar Products. The 360, Rev, and PS3 are all similar products in one way or another and are competing. The Rev is entrepreneuring (Where people think of new ideas and take advantage of them) and the 360 is a lower price. This causes the Rev to fall into the Better Quality (of both games and system ideas) category and the 360 falls into the lower prices category. In simple economics this would cause the PS3 to fail against its competition and in the American Economy there is a right, yes I said a right, to fail in a market place if you do not follow its caracteristics. Yes, I know Blu-Ray is amazing but if it cost the company $1000 to put in there they will lose money right away and they will rely on the sales to boost up their profit but if no one buys it because it is so expensive then they won't get a profit. See, Capitalism revolves around one single thing: Greed. Yes, the thing that your parents have been telling you is bad since you were a month old. Greed is what makes the American Economy work. Just think of it this way. You go to a hat shop and you see 3 hats. One is expensive looking and is made of silk,. Another one is a bit smaller but looks exactly like the first one. The last one looks really nice but is only made of regular cloth but has a nice feather in it that you like. You look at the price of the first one and it is $200, the second one is $140, and the last is $50. You look at them and compare. You can get a nice silk hat for $200, another nice hat but not made of silk for $140, or a very nice looking hat with a feather you like in it for only $50. Cent for Cent the $50 hat looks like a better value so you buy it. This is how capitalism works and how the American Economy works. See, if that expenive hat doesn't sell that much the hat company making it will lose money from the manufacturing of them and stop producing them. This is what I think will happen to the PS3. It will not be bought as much at the beginning, third-party games will move to other systems and Sony will fail. It's just the way both the American and Japanese Economies work. They run on Human greed and humans want to keep their money.