I'm just wondering that when the Wii eventually stops selling in huge numbers at it's current price point if a price drop will mean an explosion in sale again.

What happened to GC sales in USA when the price dropped because it wasn't selling well?

I seem to remember it had a resurgence at that point which at least brought it up to semi respectable final sales numbers in USA at least.

 Or am I incorrect? 

Brought back memories of going into stores in UK such as Currys Dixons, PC world, Game, Blockbusters etc and  seeing Nintendo games and consoles in a corner at the very back of the store before the GC eventually disappeared completely from so many stores.

What a difference a few years make! 

Basic economic theory states that demand increases when the price of the supply drops. And it did have that effect on the GameCube, though it had to be bolstered a bit with some limited-time offers (like the Zelda bundled GameCube), since the GameCube's demand equilibrium point was so low by then. The Wii is a different ball game entirely from the GC, as it has experienced a higher peak demand than the GC ever did. It will take a long time for the DEP (demand equilibrium point) to drop below $250 for it, going by the current sales trends...

I don't think the price is holding anybody back, but I assume it would still raise.

it will be a while before a price cut, probably next year tbh

It depends what the situation is when the supply catches up to demand and a price drop actually makes sense. If the bubble somehow bursts and Wii sales go into free-fall (in other words, the Wii really is a fad), then a price drop will give it a slight boost, but won't save it. This is pretty much what happened to the Gamecube. However, I strongly believe that the Wii is not a fad. The GC was not a very attractive system and suffered horribly from a lack of games (regardless of quality). The Wii however is hugely popular and is getting a lot more software that the cube did in the same time frames. I can't imagine that kind of rapid drop in sales at this point.

I think rather than looking to the Gamecube to see how a price drop will affect the Wii, the PS2 would be a better predictor. Basically a price drop should cause a spike for a short while then level off at the same or slightly higher level of sales as few months prior to the drop. Mostly it will keep sales from trending downward.

It is a bit of a question mark though since we don't really have any indicator of how high Wii sales can go. A lot of people claim the Wii is being bought in huge amounts by non-gamers. If non-gamers are buying it in large numbers at $250, how many would buy it at $100? And if the hardcore aren't buying the system, how many more gamers will give it a shot if it gets really cheap and isn't hard to find? I personally don't buy into the 'selling mostly to non-gamers' theory (everyone I know with a Wii owned at least one previous gen system), but if there's any truth to it, a price drop could potentially create a bigger boost than we normally expect from price drops.

when the price of xbox and ps3 will be dropped to 250(well at least xbox price) we'll see wii price dropping, i think.

I think we may see a bundle for holidays for the Wii, or 2:

Wii Fitness Pack: (Wii Sports, Fit)
Wii Gamers Pack: (Galaxy, Play)

Both for 250$/€. Depending on how much Nintendo ups production. Demand won't slow fast enough, but if they do a bold move in production terms (2.8Million+/Month) it would be possible, and such bundles would crush the competition. But then again, Nintendo is not the "We fight a console war" company, like Sony and MS are.

wii fit in the bundle for 250$ no way. in import shop it cost somethin about 190$ so how the hell it would cost 250 for the whole bundle? plus nintendo said that sports will be always with wii console so the second bundle ist unreal too.

Do import shops closely match the MSRP of a product, in particualr a product which is difficult to find in the country of origin?

$300 for Wii Fit bundle sounds reasonable.