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I do believe believe Nintendo is creating artificial demand. Zelda is an amazing game but is it worth buying a switch just for one game? Probably not, but hearing news about supply issues for months creates a sense of need to buy it now rather than wait. If Nintendo kept up with stock and no one was reporting supply issues then people could easily say "I want a switch but not for 1 or 2 games. I'll just wait until there is more games since I can just walk into any store and buy it at any time."

Everyone knows deep down that when they're done with that their switch will just be collecting dust and ignored until more games come out later but they forget all that when all they hear is supply issue.

Yes, I know that there are people genuinely who want the switch but can't find it in stock so it might be a loss of sale, but that is mostly temporary and they'll most likely buy it immediately if they ever saw it available.