economics of gaming

The economics of gaming refers to how video games generate value and revenue. It includes the costs of developing games, which involve design, coding, and marketing, as well as the pricing models, such as direct purchases, subscriptions, and microtransactions. Supply and demand play a critical role; popular games can lead to high sales, while niche titles may struggle. Additionally, the gaming industry impacts job creation and the economy, influencing sectors like technology and entertainment. Trends like esports and streaming have further transformed the business landscape, creating new revenue streams and engaging global audiences.