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potato_hamster said:
irstupid said:

If Nintendo sells millions upon millions of Labo kits, is that not more development dollars for the company?

A product succeeding means more money for the company and thus more development dollars.

No. WIth a company like Nintendo, they have a staff and resources they're comfortable with, and it's incredibly unlikely the success of anything is going to have them hiring new people to increase capacity. They'll just stick with what they have.

They have billions in the bank they could spend doing pretty much anything they want. But they don't.

They are investing in other projects like theme parks, movies, mobile, toys/merchandise, concerts, etc. besides gaming. Some of these projects appear to cost pretty pennies (especially those theme parks). And I'm sure you have heard as someone within the gaming industry, but they have been hiring, even during the struggling Wii U/3DS days. When you expect them to lay off people when they lost money, they apparently didn't and Iwata took pay cuts. 

Let's not assume they don't necessarily invest enough. We don't know exactly how much they spend on their gaming projects and other avenues.