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Soundwave said:

Wii U really isn't competing with the PS4/XB1 anyway at this point. It has no sway with that demographic.

The arguement for a price cut I think would center more around the Amiibo stuff ... a cheaper system would be preferable for getting more kids to buy one.

A $249.99 bundle with Super Smash Bros. U + 2 Amiibo figures packed in as starters for example is probably where you want to get to as Nintendo as quickly as possible, but at the same time the only thing worse than a system that has a low LTD is a low LTD system that also bleeds a company dry financially (like the Saturn did to Sega).

After this gen though Nintendo is really going to have to review their hardware design policies, in particular a few people from their hardware division should be ashamed of themselves. A system that's only moderately more powerful than a PS3 should not be costing Nintendo this much money to mass produce in 2014. 

If Yamauchi was young and still around running the company IMO he would be very displeased with this, far too much time and money was spent making a system with low electrical usage (a feature no one cares about).

Dude, you nailed this whole post. Especially the part about Yamaguchi and over thinking the electrical usage. Bravo, well done.