Nintendo have more room to move on price now than they did two years ago because the yen is much weaker, and their 3DS business is increasingly profitable.
The problems have already been pointed out concisely and accurately by several users. Lowering the Wii U's price will not widen the appeal of the device in the long-term enough to justify such a move in the short-term. The appeal of Wii U will come from compelling software, which the system currently lacks. If Nintendo can get compelling software out, and a consistent software schedule planned, then cutting the price might be a more effective move, particularly in light of rival consoles launching later this year, but the software has to come first.
It's that one little thing many like to forget: people buy a games console to play games.
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