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the most powerful console won't necessarily win.

while the analogy works sort of.

imo it'll be like this

more people own tv's than dvd players.

more people watch movies on dvd than goto the movie theatre

thus:

thus TV wins due to the highest installed base
dvd comes in 2nd
and the theatre comes in 3rd ...

 

as to how it affects sales, it won't.

 right now you still cannot walk into the store and buy a wii and its been that way for 8 months.

you can walk into most stores and buy the 360 or ps3.

 

until that changes, the wii sales will remain extremely high in reference to the other 2 consoles