Game console companies like Sony and Microsoft use various strategies to make decisions. They often rely on market research and customer feedback to understand the needs and preferences of their target audience. They also monitor industry trends and technological advancements to stay competitive. However, these decisions can sometimes backfire, as seen when Xbox tried to raise the cost of its Xbox Live Gold service and when Playstation attempted to shut down the legacy Playstation network stores. Both companies had to reverse these decisions due to negative customer response.

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These decisions could negatively impact the perception of these brands among gamers. Gamers may view these actions as a disregard for their interests and loyalty, which could lead to a loss of trust and potentially a decrease in brand loyalty. This could ultimately affect the brands' sales and reputation in the gaming community.

Potential alternatives to the decisions made by Sony and Microsoft could include maintaining the original pricing structure for Xbox Live Gold service, instead of raising the cost. For Playstation, an alternative could be to keep the legacy Playstation network stores operational, or perhaps offer a transition plan for users to migrate to new platforms. These alternatives could potentially avoid upsetting their user base.

These decisions reflect the competitive nature of the gaming industry as they show how companies like Sony and Microsoft are constantly trying to find ways to increase revenue and maintain their market share. However, they also highlight the power of the consumer in this industry. When these companies made decisions that were not well-received by their customers, they faced backlash and were forced to reconsider. This shows that in the gaming industry, companies must carefully balance their business strategies with the needs and wants of their customers.

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