LogFAQs > #945807519

TheMikh posted...

a company with stable profits and no innovation is soon undercut by hungrier competitors

it must innovate, scale up, partake in anticompetitive practices, or shrink/fail

Let me give an example which is recent.
Wizards of the coast.

They had always been a money printing machine, and then a bigger company bought them out.

Recently Hasbro said they had to have 5x more profits by the end of the year.
So you now see all sorts of new money making avenues and changes to the way the game is designed and administrated.

Did these changes need to happen to stay competitve as a tcg company? No, not at all.

Do why did they happen? Shareholders wantes more profits.
Next year they won't be satisfied either, they will demand even more even if the 5x profit is achieved.
Already the product quality has declined and that is not opinion but observable through metrics.