Nintendo turns off in Brazil

Brazil is notorious for the fact that in this country simply imposed sky-high taxes on everything related to video games. That's why the management of the Japanese company Nintendo has decided that it is no longer possible to endure this disgrace.

So that you can imagine what the pricing is in Brazil, I will give a very simple example. In the US, the PlayStation 4 gaming console costs 399 dollars. And in Brazil, the PS4 will cost you 4,000 Brazilian reales, which translates into US currency equals $ 1,500. Do you feel the difference? And it's not that Sony wants to earn money from the Brazilians, but that to pay huge taxes and not work at a loss, the Japanese have to raise prices to unprecedented heights. The huge tax, referred to in the material, consists of an import tax (imported goods are mandatory for them) and a tax on game products.

Microsoft's company in Brazil is also hard-hitting, but it has an incomparable advantage over its competitors. Microsoft owns the plant in the Brazilian city of Manaus. This factory produces various products of the company, including Xbox game consoles. Due to this strategically important object, Microsoft may not pay a huge tax on imports, which fairly reduces costs. The cost of Xbox One in the US is 399 dollars, and in Brazil - 2200 reals (about 800 dollars).

As for Nintendo, it has, like Sony, no factories in Brazil. Therefore, the prefix Wii U stands here 1899 reais (700 dollars). You do not need to be a genius in the forehead to figure out: with a difference of 100 dollars, users will prefer a more powerful Xbox One console. About PS4, Brazilian gamers are afraid and dreaming. Fifteen and a half thousand dollars for the console - it's not every sdyuzhit. Needless to say, but local gamers still have a pretty old Xbox 360 prefix in their honor. What kind of Wii U can there be, and even with this price tag?

Nintendo officially explains the reason for the curtailment of activities in this country is rather vague:

"Brazil is a very important market for Nintendo, as well as home for many loyal players. But, unfortunately, the problems of the local business environment have made our model of the distribution of goods unsustainable. These problems include a high duty on imported goods, as well as the inability to deploy our products in this country. We will continue to closely monitor the evolution of the business environment in Brazil and evaluate options as to best suit our Brazilian fans in the future. "

The article is based on materials https://hi-news.ru/business-analitics/kompaniya-nintendo-svorachivaet-svoyu-deyatelnost-v-brazilii.html.