if i had a wii and see Move and its the same, i would use the same reasoning i used to buy my HD tv.... it looks way better than my SD tv
If you are one who cares a lot about that of course you would. Myself I did not bother with a HD tv till my old one that my parents gave me broke. But if you are one to already care about that would you not already have aPS3 or xbox360 for that same reason.
I don't think that was his point completely and most people who have a Wii over PS3/xbox360 isn't because they don't care about visuals (it might be a big deal to them), but it's because the Wii has the software and experience they want. I think if you asked any Wii owner, "if you could have the Wii right now with better graphics, would you?" Most would say yes, depending on what the price difference would be.
Radha statement was "given two things that are the same (in terms of gameplay here), I'll buy the one that looks better." Which would be akin to "I'll buy my HDTV because the same programming looks better" or buying a bluray over a DVD. People do buy HDTVs over SDTVs all the time and I buy blurays almost exclusively because, given the same content, I would like mine to look better if the price isn't too detremental.
EDIT: I mean that was Reggie's point, the price he states ($400) would be too detrimental for lots of people, but maybe for some who just want the experience first and also would like better graphics, the transition to PS3 + move is ok FOR THEM. Obviously the more the price goes down the more people fall into that category.