Here are the main points said by Miyamoto during that Q&A session regarding this
1. The important factor is that we make software that can sell a lot
2. In Games business we rely on big hits that can offset low selling (failed) games.
3. The big selling games allow us to create another challenge/game
4. Our basic goal is to make big software that sells 2 million copies and is profitable
5. If we release only in Japan the game may sell 300k and that would not be enough to cover costs
6. Therefore our goal is to release global and aim for over 2 million sales.
This is from the Japanese translation on the website.
It omits some extra answers given by Miyamoto on the live conference.
English translation may be similar but will no doubt be edited slightly when it comes out.
My understanding of this is that for the AAA style games they make on console they need to sell over 2m to be profitable and that would in theory allow them to invest back in to a new sequel/game and offset any loss from games that didn't meet sales targets.
Basically they're saying that they rely on hit games to drive their games business.
Once again, this isn't talking about Zelda in particular but the average/big/AAA Nintendo style games. (So I guess Zelda would be included, but they're not saying just Zelda. If that makes sense)
There is also a hidden message in this answer if you read between the lines, and it refers to point 5. Basically it's clear that Japan market is not enough on its own anymore for games to turn a profit. Games in the past could sell a good amount in Japan and generate a profit there but now they have to rely on the global market in order to hit sales targets. It could also hint that Nintendo's next device/software will have considerably more Western focus than Japanese focus. e.g. similar to PS4.
Can someone please post this in the OP and change the title to more accurately reflect the notes above. Thanks.
