Why hasn't MS cut Xbox One price in EU?

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Because losing 50 Euros is more than losing 50 Dollars.

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I guess they would view it as throwing good money after bad.

This is the Game of Thrones

Where you either win

or you DIE

There's just no way to combat the Playstation brand strength. It's why Sega gave up the fight with the Dreamcast when PS2 came, despite having a superior console at a superior price with a vastly superior games library at the time. It's why Japan never had the slightest chance of showing any more than abyssmal support for the XBO. It's why Nintendo simply cannot overcome the sluggish momentum of the Wii U to actually compete in the console war no matter how many critical successes it has or how much cheaper they try to make it. Brand strength is the single greatest factor in market share every generation. Not hardware strength, or PS2 would have flopped. Not advertising, or Microsoft would win. Not games library, or Wii U would at least be a contender in the race. Nope, it's mostly brand strength. Barring a major upset that changes public perception of the PlatStation brand for the worse like the Xbox 180 launch fiasco did for Microsoft, or some weird phenomenon that helps the Wii U or XBO brands, nothing will change until next gen. Amiibo was Nintendo's best chance at that and while a success, it's looking like it won't change anything. Microsoft's best bet will be Windows 10 compatibility I'm thinking, but maybe that will do nothing, we'll see. Price cuts though? They really don't make a difference in the long run. Microsoft's success in Europe will reflect XBO's brand strength relative to PlayStation's in the end.