In 1981, Nintendo of America was a one-year-old business already on the brink of failure. Its president, Mino Arakawa, was stuck with two thousand unsold arcade cabinets for a dud of a game (Radar Scope). So he hatched a plan.

Back in Japan, a boyish, shaggy-haired staff artist named Shigeru Miyamoto designed a new game for the unsold cabinets featuring an angry gorilla and a small jumping man. Donkey Kong brought in $180 million in its first year alone and launched the career of a short,...