Nintendo could have capitalized immensely if they weren't so conservative and had more Wiis produced. I wouldn't doubt there could have been 10-15 million more Wiis in people's homes today if there were that more many available.

If the userbase was that much larger even more developers would have shifted more of their resources to the Wii thereby creating an even higher demand for the Wii and decreasing demand for the 360 and PS3.

 All year long the Wii was selling like hotcakes and Nintendo still didn't increase production to meet demand especially for the holiday seasons. What a huge opportunity Nintendo missed.

Don't get me wrong, Nintendo is still greatly successful even with this huge mistake. But they could have been so much more successful and dominant in the console market if they had more Wiis produced.

Of course they could have. But no company, including Sony and MS, could have met that demand. I think they did it as valiant possible, and it was unavoidable. Of course when you get to look at it from our perspective now we must see the repercussions of not meeting it, but still its the best they could have possibly done.

Not only that but this huge demand in 2007 and heightened shipments has at least ensured them a large competitor in this console wars if not an outright winner. Only consequence is that they couldn't knock the competition out in the beginning.

Mom says, if you can't say something nice........and on that note, I'm outta here.

You are wrong for a couple reasons.  First off, before I begin, you said Nintendo didn't increase production.  They did.  They increase to producing 1.8 million a month.  Now, while you are right about there being a potential 10-15 million more Wiis in the consumers hands, think about this.  To do that, Nintendo would've needed to build 2-3 more factories.  This takes 1. Money and 2. Time .  First, Nintendo has stated (along with many other people) that they had no idea of the Wii's popularity.  As a company, you dont want to be left producing 5 million Wii's a month.  Sure you will meet demand quickly.  But all of a sudden, 3 months later, you will be left with A.  Millions of Wii's left un-bought (Loss of profit) and/or B. Factories that do nothing because you dont need to make that many Wii's anymore.

So I think Nintendo has done its best to combat a problem no one really saw coming.  Demand will die down eventually.  This is the holiday season.  Its CRAZY.  Every year.  Nintendo is more profitable doing what they are doing now.  If you think about it, Nintendo may lose some customers because they cant get a Wii.  They will choose to buy the competition.  But a lot more people will become interested in Nintendo's product solely because it is hard to find.  They will do research, talk to friends to see what the buzz is about.  So I think the two neutralize each other. 

I not gonna admit anything.

Its was just surprising to Nintendo how well the Wii has sold. Its been successful worldwide so i dont think they have lost anything but if anything, gained more .

Well lets look at the opposite end. Let us look at if they had doubled production and then sales were only at the levels they are now. (I know not likely but it is a what if.) That would leave Nintendo with factories they built or signed a contract for and don't need. That is alot of money to waste.

If Nintendo starts throwing money down the drain that could potentially put them in the same spot MS and Sony are in.

I just wonder what the sales would have been if they hadn't been supply constrained. Has any system been so consistently sold out for an entire 13 months straight? They couldn't have been prepared for this because no one could have guessed. They just need to step up production a lot for next year. Better not sell out over Christmas 08.

 For a gaming console, no.  This is unprecedented in its consistency.  Not to mention the Wii has had some of the largest shipment numbers in its first year compared to most others, and its out worldwide in its first year which is different between most others making how many they got out even more extroardinary.  So I still think Nintendo deserves credit where credit is due in trying their best to fill as much as the staggering demand as possible.  Hell they even took units out of Japan to help America and Europe.  How many times do you see Nintendo do that?  They deserve some respect for what they were able to accomplish.

I said Nintendo didn't increase production to MEET DEMAND. They had all year long to do it when the Wii was perpetutually sold out (in America at least).

Nintendo is one of the largest companies in the world. Of course they had the monetary means to have production increased at least 2-3 fold in a short amount of time.

Nintendo didn't they do their best when they could have had production increased to let's say 3-4 million a month. And they could have. It was within their capabilities. But they chose to take the conservative route.

If they produced enough I think the Wii would have delivered the KO punch to its competitors.

The could use about 2.2 million a month.