While baking companies have stable

While baking companies have stable environments, EA Sports, whose best-selling products are sports games like FIFA 09 (soccer) and Tiger Woods PGA Tour (golf), competes in one of the most dynamic external environments-video games.
In dynamic environments, the rate of environmental change is fast.
EA Sports' business environment is dynamic primarily because gaming technology changes so quickly.
The company's first product was designed for the Atari 800, which was soon replaced by the more powerful Commodore 64, the Commodore Amiga, the 8-bit Nintendo, the 16-bit Sega Genesis, the 32-bit and 64-bit Segas, Nintendos, Sony PlayStations, desktop computers and now the Sony PlayStation3, Nintendo's Gamecube and wii and Microsoft's Xbox 360.
With development costs exceeding A$14 million per game and marketing costs running as high as A$20 million for some games, if EA Sports guesses wrong and develops games that prove to be unpopular or quickly become obsolete, it could join the dozens of game companies that have already closed thier doors.