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How Video Games Can Avoid Massive Lay-Offs

 

 

Cordova, TN, March 1, in the year of our Lord 2013 -- It is all over the gaming news lately. THQ, and Atari have filed for bankruptcy. Large gaming companies are dumping studios. IGN had massive layoffs. 1UP, and Gamespy were shut down. The horrible Obama economy has come crashing down on our industry. Could it have been avoided? What can be done to insure this trend reverses? What can you do to help? Could we have done something differently to avoid this? These are the questions in the mind of so many gamers.

Structurally the gaming media has major flaws. Gamers get the news they want for free. They are not paying subscription fees as they do with satellite, cable, and newspapers. So they have grown accustom to getting all kinds of work for absolutely nothing. As the economy has hurt these companies they are not willing to advertise. As advertising revenue declines many companies are being referred to as freeloaders. They want as much profit as they can, and they have hurting the gaming media in the process.

There are too many buy-outs going on out in the business world. When a bigger company swallows up a smaller company, there are always layoffs. They trim down jobs so they can have a higher profit. Many times the CEO lays off all these people and gets a massive bonus. How many jobs could have been kept if they sent those millions over to HR instead of keep it? When one company gets bought out they lose control of their destiny. Here at Family Friendly Gaming we have had multiple expressions of interest in buying us out. We either flat out tell them no, or give such a high number they walk away. We have no interest in the problems a buy-out creates.

Too many companies get themselves deeply into debt. Debt they can never pay back. So they become desperate and gamble everything on an idea like uDraw. Gamers refuse to support it, and in essence put the company out of business. My fellow gamers usually whine and complain about some product they do not like – yet their choice removes other products from the market as well. Companies need to build on successes that slowly increase revenue. Invest those profits into future products. Massive debt hurts wherever it is. Avoid going into debt to bankroll ideas.

Gamers may ask why should they pony up and start to pay their fair share. Because writers, editors, artists, and more lose their jobs when you don't. Companies may ask why should they advertise and pay places that cover their products. When you don't they go out of business, and that means less people hear about your product. In the long run you will lose sales, and that hits the bottom line. CEO's may ask why they should give back their bonuses. It helps the economy, their company, morale, and their tarnished image. Some companies may ask why not gamble. When you lose, you impact a lot of people.

Please bear in mind there are people and companies already adhering to these five steps.

1. Gamers Need to Financially Contribute
2. Gaming Companies Need to Financially Contribute
3. Buy-Outs Need to Stop
4. CEO's Need to be Selfless Instead of Greedy
5. Don't Over Reach

- Editor in Chief
- Paul Bury

 

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