Games Investor Consulting - Games Industry Business Intelligence

How the games value chain actually works


Traditionally there have been four distinct stages to bringing a game to the market (development, publishing, distribution and retail) although this supply chain is increasingly having to adapt to ever-evolving network technology.

 

 Development - The design and creation (i.e. coding) of a game. This is done by specialist development companies and publishers' in-house resources.

 

 Publishing - done by specialist software publishers who are responsible for the overall management of a game's development, its packaging, manufacture, distribution, marketing and, more often than not, funding.

 

 Distribution - done by specialist distributors or by the publishers direct to the larger retail chains.

 

 Retail/Mail order - done principally by specialist software retailers, electrical goods shops and online vendors, but increasingly by non-specialist multiples such as supermarkets too.

 

 Network Gaming - affecting every aspect of the value chain from design to exploitation to distribution and sales, network technology is beginning to force change within the industry.


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