Title

Regional Lockouts: Price Discrimination in the International Video Game Market

Presenter Information

Sarah MasseyFollow

Academic Level at Time of Presentation

Senior

Major

Economics

Minor

Finance

List all Project Mentors & Advisor(s)

David Eaton, PhD; Jeffery Osborne, PhD

Presentation Format

Event

Abstract/Description

The purpose of this research is to analyze why various video game companies implement what is called a "regional lockout." A regional lockout occurs when a company deliberately delays or outright refuses to release a video game outside of their home country. This can be limited to a single game or it can span an entire series. However, these lockouts may not last longer than a year, and other sources such as released translations and ports can be released outside of the country, effectively making the lockout null and void. A regional lockout can also be used as a form of price discrimination for the non-domestic consumers demanding to purchase the game. Exploring possible explanations why this is implemented and analyzing possible changes in the company could explain why these lockouts occur, despite the possible leakage of the game itself.

Spring Scholars Week 2019 Event

Honors College Senior Thesis

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Regional Lockouts: Price Discrimination in the International Video Game Market

The purpose of this research is to analyze why various video game companies implement what is called a "regional lockout." A regional lockout occurs when a company deliberately delays or outright refuses to release a video game outside of their home country. This can be limited to a single game or it can span an entire series. However, these lockouts may not last longer than a year, and other sources such as released translations and ports can be released outside of the country, effectively making the lockout null and void. A regional lockout can also be used as a form of price discrimination for the non-domestic consumers demanding to purchase the game. Exploring possible explanations why this is implemented and analyzing possible changes in the company could explain why these lockouts occur, despite the possible leakage of the game itself.