Nintendo's biggest obstacle heading into next generation

[trestres]

1) Tapping into the "core" market, like Iwata himself wanted with the release of the Wii U.

This will be next to impossible without proper 3rd party support, which seems will be absent judging by the upcoming lineup. I think Nintendo rushed the Wii U, they should have waited until they had at least some big support from publishers, right now their library is void of any interesting games for the typical 360/PS3 buyer, so they won't make a dent into that segment of the market.

2) 1st party games.

They need to rethink their strategy. Releasing 1 or 2 big games per year is a waste of resources and talent and kills off the console in the long run, just like what happened with the Wii. Since 3rd party support is almost non-existant, why wait for the sales to start dying off to release big games? There needs to be a constant flow of games, and games that showcase the possibilities of things that can be done with the console as well as expanding the market. Trying out new IP's for the core and not relying always on third parties. Localizing games that will obviously sell better in the west and stop being stubborn about it, so if necessary employ more people and expand the localization team.