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Emotive

In: Business and Management

Submitted By sidb001
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EMOTIV SYSTEMS
Case Analysis

Which platform should Emotiv pursue – console or PC? Focus only on the US market and assume that US has 110 million households.
If Emotiv manages to convince one of the console makers in time for a fall 2008 debut, what marketing mix decisions (specifically, pricing and channel) are appropriate? How about if EPOC is only PC enabled?

Emotiv has currently many options, but as per the current situation the best platform for Emotiv’s EPOC launch would be the PC market. Presently this system was being used for Professional uses like presentation of the Emotiv products. Launching this product in the PC market would also be beneficial for Emotiv as it would be able to charge higher price for it’s product. As PC users are hard-core gamers and they do not mind spending much on new products, they would definitely try the product once it is launched in the market. Moreover, Emotiv does not have to share their margins with the PC Game publishers, so Emotiv will earn a higher margin.

Console manufacturers are currently not giving any proper confirmation for the integration of EPOC into their consoles. Wii has refused plainly. With Sony they are facing problems due to internal politics of the Hardware and Software divisions and Microsoft wants to follow second to market approach. Console manufacturers are also charging huge margins for the every EPOC headset sold.

PC is the best platform for EPOC product launch and it will also be able to skim the market by charging a higher price initially. Later if consoles agree to integrate this product, they can easily penetrate the market with low price.

If Emotiv manages to convince one of the console makers for integrating EPOC, it should price it’s product at $199 so that it can easily cover it’s production cost for the initial units. Since EPOC is new in the market and people wonder if

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