Abstract
Electronic Arts Incorporated (EA) is a leading global developer of video game software with FY2018 revenues in excess of $5B. And although the organization has demonstrated innovative leadership in the industry for many years and has an established portfolio of “hit” game titles, industry trends have created an increasingly competitive environment. Digital game distribution, for example, has dramatically reduced the cost of product delivery, but has also negated a previous barrier to entry for new competitors. In a $36B industry that has been completely reshaped by digital content and distribution, EA seeks to better engage and retain players via digital capabilities. This case study analyzes EA’s differentiated competitive strategy founded on three pillars: Player-First, Commitment to Digital, and One EA. Each of these strategic focuses has a direct connection to trends in the transforming video game industry, as the company seeks to expand its player base across platforms, geographies, and business models. Together, these highlight the path for the company to operate more efficiently, create more engaging products and services, and develop increased customer loyalty towards EA games.
Highlights
Since its founding in 1982, Electronic Arts Inc. (EA) has grown to become one of the most profitable video game software developers and publishers in the world, posting revenues of $5.1 billion for the fiscal year 2018
While EA has benefited from the success of such popular franchises, the rapidly evolving video game industry is becoming increasingly competitive as barriers to entry dissolve through digital distribution of products, independent game publication, and free to play video games
The company has become increasingly focused on developing its relationship with video game players through online services and digital content (Electronic Arts 2018b)
Summary
Since its founding in 1982, Electronic Arts Inc. (EA) has grown to become one of the most profitable video game software developers and publishers in the world, posting revenues of $5.1 billion for the fiscal year 2018. EA’s video game portfolio boasts top-selling video game titles across multiple platforms, including its Star Wars, Need for Speed, Battlefield, FIFA, and Madden NFL franchises. While EA has benefited from the success of such popular franchises, the rapidly evolving video game industry is becoming increasingly competitive as barriers to entry dissolve through digital distribution of products, independent game publication, and free to play video games. The company has become increasingly focused on developing its relationship with video game players through online services and digital content (Electronic Arts 2018b). This case examines EA’s competitive position in the video game industry and its player-centric, digitally focused strategy
Sign-in/Register to view highlights & summary Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
