Though none of Koei's historical simulations achieved mass market success, they acquired a loyal cult following. After Hedlund's departure, this subsidiary ceased game development in 1995, focusing instead on localization, sales and marketing. This subsidiary localized Koei games for export to all territories outside Japan, as well as producing original games and concepts with the leadership of designer Stieg Hedlund, like Liberty or Death, Celtic Tales: Balor of the Evil Eye, Gemfire and Saiyuki: Journey West. In 1988, Koei established a North American subsidiary, Koei America Corporation, in California. Great Navigation Era), set in Portugal during the Age of Exploration. The game went on to receive numerous awards, and Koei produced several more such games set against the backdrop of world history, including Romance of the Three Kingdoms, set during the Three Kingdoms period of Chinese history, and Uncharted Waters ( 大航海時代, Dai Kōkai Jidai, lit. In 1983 it released Nobunaga's Ambition ( 信長の野望, Nobunaga no Yabō), a historical strategy game set during the Sengoku period of Japanese history. It became a hit, helping Koei become a major software company. In 1982, the company released the erotic title ( eroge) Seduction of the Condominium Wife ( 団地妻の誘惑, Danchi Tsuma no Yūwaku), which was an early role-playing adventure game with color graphics, owing to the eight-color palette of the PC-8001 computer. The company initially focused on personal computer sales and made-to-order business software. The company has remained located in the Hiyoshi area of Yokohama. Yoichi was a student at Keio University, and when his family's rural dyestuffs business failed, he decided to pursue his interest in programming. Koei was established in July 1978 by Yōichi Erikawa (also known as Kou Shibusawa) and Keiko Erikawa.

Koei changed its name to Tecmo Koei Games on Apby absorbing Tecmo, and again on July 1, 2014, to Koei Tecmo Games. On April 1, 2009, Koei merged with Tecmo to form the Tecmo Koei Holdings holding company. Koei also owns a division known as Ruby Party, which focuses on otome games. The company has also found mainstream success in a series of loosely historical action games, the flagship titles of which are the Dynasty Warriors and Samurai Warriors series, also known as the Musō series. The company is known for its Dynasty Warriors games based on the novel Romance of the Three Kingdoms, as well as simulation games based on pseudo-historical events. was a Japanese video game publisher, developer, and distributor founded in 1978.

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