Analysis of the Effective Distribution Channel toMinimize the Risk of Piracy in Computer GameSoftware Business: Case Study of PT Digital Happiness Studio

Abstract

Gaming industry is a developing industry with bright future ahead. In the
entertainment sector, gaming industry in one of the biggest industry there is, alongside movie
and music industry. The gaming industry is starting to enter the Indonesian market with many
new games are develop here in Indonesia by local game developers. However, the risk of piracy
in Indonesia is huge because of the difference in price between original and pirated products.
Some factors that influence customer to buy video games are the way the games are distributed
for example digital or physical distribution, and also the service demand outputs. The purpose
of this research is to analyze the effective distribution channel to minimize the risk of piracy in
computer game software business. The research is conducted at Digital Happiness Studio,
where the primary data is obtained from interview with an employee and also questionnaire is
distributed to potential customers. Data analysis is done by two softwares which are SPSS and
AMOS, which specified that there is a significant relationship between service output demand
with customers’ preference channel and also the risk of piracy itself.