The undersupply theory is way off base. The switch released in March, which isn't a common release time, being that most are released later in the year to get a big holliday sales push. The Switch outsold the Wii and SNES's first month, which is great but still somewhat surprising.The PS4 didn't release with 10 million consoles available at launch, no company does it's bad business.  If nintendo had made 10 million WIi U units for launch that would have been a disaster.

Also, factories want consistent work from the companies, so if the factory had made 10 million wii U for launch, and it wasn't selling at all, it could ruin them and Nintendo could lose their working relationship with that factory.

Nope. Not that. Neeevverrr that. Lame ol' Nintendon't, amirite?

Wouldn't everyone just be left with a full board of crosses?

NiN has about 80 million customers based on Wii U and 3DS alone. That's not to mention anybody else who owns a previous NiN console or handheld that hasn't upgraded.
With the Switch, it shouldn't be that hard for NiN to get 50% of those 80 million to buy a Switch over the years as the price comes down. That would be 40 million Switch's. If they can sell 10 million a year, for 4 years, that's not bad at all.
Then imagine if they can get just a small portion of those casual Wii customers to buy a Switch as the price drops. Your talking 50 million Switch's or more now.

Where Switch will end up exactly is pretty hard to say right now. It depends a lot on whether or not NiN doubles down on Switch and leaves 2DS and 3DS behind completely, or launches a Switch mini that takes their place, or just continues on with their current hybrid and handheld offerings.
The other BIG factor is the price. If NiN pulls another Wii U and keeps the price too high, it will really hurt Switch sales over time. If they reduce the price over time like they should, they will sell A LOT more of them.

This artificial demand theory needs to die.

Nintendo ships more consoles than planned. People say it's artificial demand. Stay classy.

Seriously though, stuff like that just happens. The PS4 wasn't easily available for liek 6 months after launch around here. Didn't have anything to do with artificial demand. There's only so many things you can build in a given time, especially nowadays where all those foxconn factories are blocked by iPhones and Samsung Galaxys. It's not like a gaming console has a huge priority for the people building them and Nintendo doesn't have their own factories.

Give it a bit of time. The thing will sell better than the Wii U because of the name alone, but the fact that it won't have third party support will soon make itself clear (aswell as software droughts).
Though i doubt some of the numbers we are seeing here in vgc. Even if we were to trust it, the ps4 is already outselling it in europe.

Ultimately the Switch is the Wii U 2, it simply has a better name.

Except it's nothing like the Wii U, but don't let that derail your usual Nintendo is doomed narrative. 

The PS4 must be a crappy selling console if selling less than it is deemed an automatic failure. 

Pfft... so sad. Like you know anything about me. If you were expecting boot licking though, you are right, that narrative doesn't fly with me.

You constantly post the same stuff over and over again, what more do I need to know?

Take a look at Amazon, the thing is selling better than the PS4 at the insane price of $400.

But yeah, all of the Switch's success can be explained by having a better name. /sarcasm