cool factor and other factors that appeal more to the human psyche. yeah. Its like when a poor person is addicted to drugs. Would they be poor if they weren't addicted to drugs? The Wii isn't an addiction, but they are appealing to different elements of consumer's psychology.
Why do you think Sony isn't dropping their price everytime someone thinks they should? Every somewhat successful company knows that there is a balance to these things. Marketing is just one way to get into the psychology of people. I could have a really cheap good product that only one person owns and it "could" never get bought by anyone else, but if designed right, marketed right, and fed right, it can be owned by all. Also a price cut alone is psychological. It may mean that the product is outdated or in less demand. With a Wii price cut, perhaps suddenly the PS3 would look like a newer machine and more "worth" the extra money.
That is one reason that Sony kept their price so high starting out and tried to create an image of "eliteness." But they didn't listen to the market at the time. They let their own preferences and creative tunnel vision blind them to market trends. Nintendo on the other hand opened their mind to many possibilities which is why their product ended up being so radically different than the other two.
It isn't about price or power or elitism right now or ever, it is about what the market is set for and what people need and want psychologically.







