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This will sell well, even at this price point.  Why?  A lot of fatties will pay $300 easy for things that make moving around fun - Dance Central fitness will capture that market.  Sure, most of them will stop playing after a month, but it's the same way with gym memberships, fitness videos, equipment, etc.  Fatties will justify $300 easy cause it means they are "serious."  And the fatter they are, the more they will pay.