Just to add to what others have said, the potential market in Brazil is actually pretty large. Videogames are big part of the culture and PS2s were (and still are) very commom, even on lower income households. Before that PS1s were easy to find and the 16bit gen had a lot of presence too. Of course piracy was rampant on PS2 but the prices really are absurd, mostly because of taxes but also from a lack of sensible business models, specially for software given region locking, the cost of media and the fact the software isn't developed specifically for this market.
Current gen consoles are not quite as usual and are certainly much less commom on lower-income residences, but they're still not as rare as you might expect. Piracy is a little bit less of an issue (X360 of course being the go-to console for that), but still most people (from my experience, at least) buy most games used off the internet instead of new. I'm not to sure about the Wii but that might have something to do with my demographic.
All in all, given the absurd prices coupled with the lower median income, I think the current (and historical) sales are a good indicator, specially when you take into account that said income is going up and that the prices could be mitigated from the companies end, and also hopefully trough some pressure on the government if the market starts growing. So grabbing presence on here (and on developing countries in general) can be pretty profitable. In Nintendo's spefic case they still got some of the image from SNES left over, so I'm sure older folks would be interested and reminiscent of some IPs, and it's not hard to sell the Wii to families with kids, so their position is actually not that bad. I could see Mario & Sonic games doing proportionally pretty well too.
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