A Research On The Development Of China's Online Game Industry

Since China's online game has been more than ten years now,But because of its own characteristic,many people always associate the on-line game with the juveniles' health.People focus on the negative effect of the on-line game,so the new things are not recognized by society as a whole. However,online game is developing at an alarming rate.In China,the output value of online games has been more than the value of the film industry.It has become a major pillar of the cultural industries,and has produced multiple effects to the whole society.The explosion of the online game has aroused attention,and the related departments have stipulated some policies.Description and comments on the on-line game often appears on the medium.However,the academic network of domestic game industry lack of economic analysis,the industries lack of theoretical support,so from an economic point of view an analysis of the industry has a strong theoretical value and practical significance.Firstly this article introduces the definition,classification, characteristic and the development history of online game simply,carries on the description to China' s online game industry present situation,and makes the judgment to the online game industry development phase and the development pattern.Then this paper constructively utilizes SCP model to analyze industry organization of the on-line game industry.The analysis result indicates that the on-line game market is a high concentrating oligopolies and monopolistic market with some production differentiation and barriers to entry,and the company always takes "two degrees price discrimination" and "tie-in-sale" strategies to set a price.The on-line game industry is a industry with high risks and high return,but the high profit margin will decline sharply with the expanding scale of the industry.Papers,based on industry market conditions,summed up the development of China's online game industry in the four major trends, namely:democratization,pluralism,and international media.At the end,on the basis of case-analyzing the thesis reaches the conclusion after raising some considerations and suggestions for the development of the on-line game industry.