One of the issues is over production, and its something a lot of us don't care much about but is a big deal for a company like Nintendo.

Nintendo may be a more valuable company and may be making more profits than Sony (we'll see), but whether those two things are true or not, N definitely has a lot less revenue. This means they have less money to toy with. When you increase production, you usually sign year-long contracts with a company who will produce a certain amount of product every month. Nintendo is justifiably concerned that increasing production continuously would lead to overstock. For example, would increasing production to 4 million a month satiate the current worldwide demand? I think we can all assume it would. However, this means that they'd also be producing 4 million a month for a long time to come, and they'd be jammed with overstock that ties up their financial holdings. That's bad! So instead, they increase production gradually, being very careful not to shoot past demand. 

If Nintendo intends to lead this generation, they will have to ramp up their production. This winter there will be a lot of grand parents who are going to buy a Wii for their grand children.

Exactly.  The various articles around have said that nintendo is adding factories, which will take several months to a year to even start production. 

Producing a product as complicated as the Wii isn't quite as easy as having truckloads of raw materials dropped into your factory and then having Wii systems drop out of a chute ... To produce the Wii dozens of companies produce components which are then shipped to Nintendo; these components are then combined to create either an intermediate or the final product. Nintendo generally chooses components that have multiple suppliers but they can still be put in a position where one or two components can limit their potential supply.

At the same time I'm not too sure that Nintendo anticipated success on the level of the Wii; consider that the Wii is selling at a much faster rate than any Nintendo console has ever sold at this point it its life. Nintendo (being a cautious company) is probably planning on increasing supply in several small steps rather than a couple of large stages in order to prevent over producing the system ...

Are the Sales Numbers the Same????? I dont think there has been an increatable increase latly in sales so if the are ramping production then those systems have to be going somewhere.

I belive the Numbers Show nintendo the same as its been for the past 4 months, But i could be wrong.

Where are the Huge Increase of numbers becouse if they produce it the Sales will come. :)

It's gonna take some time before we can see the benifts of the increasing of Wii production things don't happen instantly.

Should not be more then a month after they are started being produced, Shipping and stocking is the only time constraints the new systems have after they are produced in the Manf.

but as soon as its shiped they dont stay on shelfs long so no more then 4 weeks depending on VG's Data for the Week, as they are 1 week behind so a posable of 5 weeks for sales Data

Each movement in the businesses must be taken with care, but it seems that nintendo needs to produce more wiis, and more production, minors costs and more income.

But the sell of the systems will greatly boost There Profits and in the end make them more money as people that are looking for one are stuck with more expensif alternitives.

Took me 3 weeks into Feb to find a WII on the shelf. Wish they had More :(

Hmmz production lines are difficult indeed, not only you need to increase the manufacturing but also the key components: some of the Wii's internals are custom made and it's hard to increase such things.
But if you are willing to hand out some of your profit then many things are possible.

However I think this is a bit more difficult. The Wii is selling, and it's selling twice as fast as for example the XBox 360. They even intend to match the succes of the PS2. So you need a stable increased production on the long term and that's hard to do in some months. Certainly if you know that consoles are being designed sometimes before the previous one is released.

On the other hand they have to keep up the Wii-matic: they have to innovate simple, cheap designs into fun things. But as long as Miyamoto is in the firm i see no problem there.
Just take the N64 controller, it is a brilliant masterpiece it's undescribable that such a device was made in just one generation. You can even see it by looking at the weak improvements made in the generation after the N64.

But i'm getting off-topic here. For the toppic i suggest to take into consideration that the summer is a slow selling season. So if the increased production meets the stores it's suggestible that many more stores have it in stock and so it continues to sell very well virtually. Yet i don't think thats the case, increased production takes a while to be noticed and i think a part of that will be kept in stock for christmas. And so the Wii sales were boring ever after....