Smashchu2 on 28 August 2009
Two things
First, Nintendo is in a Blue Ocean. The tagline of the book is "Make your competition irrelevant." Nintendo does not need to compete with them. It would only put them in a Red Ocean and hurt what they have done so far.
Second, Nintendo has shown that software is the best way to push the hardware. With Moster Hunter 3 and Wii Sports Resort, hardware was increased for the weeks of their release. The same effect could be archived by a price cut, but it would not be worth it. Nintendo could instead make more compelling software and keep the price the same. You can make software and continue to at least get little boost. You can do the same with a price cut, but you can only cut price for so long.
