Nintendo still has a good standing in europe, but it has been losing that to Sony with the Playstation.
Basically, Playstation is the new Nintendo in Europe. Doesnt mean Nintendo will go away, but to penetrate the european market you need to be competitive price wise. Europeans have less money than americans on average.
Less money means more sensitive to price. Unless its a sure thing, and thats what the Playstation is atm. It has been for several generations (since PS1).