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Kynes said:

A 50 US$ price cut, in a console that sells ~15 million units in a year, means 750 million US$ less income. I'm sure MS is happy with spending >500 million US$ in advertisement and selling the same than the competition, all this with the last price cut three years ago.

PS: We all know Sony doesn't spend a dime in advertisement.

To be fair, I highly doubt that ALL of those stores are taking a hit themselves to continually give out $100 gift cards with every 360 sold.  And I'm sure MS had something to do with those discounts for Black Friday.