No. Sega has shown us what would happen if they choose to do the first option

NES - 62M
SNES - 49M
N64 - 33M
GC - 22M
Wii - 102M
Wii U - 13

Apart from Wii, there seems to be a trend here..

Wii was an anomaly.

They didnt really work hard through out Wii U life and i havent seen any evidence so far to suggest they are working hard now. We could have a Wii u situation again where the system doesnt sell to hot and 3rd parties jump off. 

Agreed, now the big question is can NX do better than N64 GC but not as good as Wii? I dont know man. to have a console go from 100mil to the next one doing sub 20mil is jarring to me and doesnt leave me with a lot of faith. THat is a bigger drop than PS2-3 and Sony made a bunch of mistakes with 3 probablymore than Ninty did with Wii U or at least as much.

Edit: actually the mistakes that Sony was rectified by time.

Console business just isn't a place that's favorable to Nintendo.

Look at every month's NPD top 10 ... 90% of the top games every month are pretty much always violent action games or pro sports simulators.

With the advent of the big screen HDTV, console games have become more fixated on movie-like graphical "big screen" experiences.

It's just a market that doesn't work for Nintendo unless they can have some kind of gimmick that can break through and bring a different audience to the table, but even Pokemon Go's success shows -- the casuals weren't sitting around doing nothing, they've been playing on their smartphones/tablets, so that shows that crowd doesn't necessarily need a home console either.

The types of games Nintendo likes to make for the most part work just great on a small screen these days, and even the dedicated portable market is being eroded away by the mobile market. 

It logical when they have their worst selling console history that that they will work much harder to have much more appealing product, and they addressed most of Wii U mistakes while they preparing new platform.

This. I dont know why people dont want to accept this. THe numbers speak for themselves.

"Addressing mistakes" isn't going to be enough to sell a lot of consoles IMO. People don't get excited when companies come late to the market with a product they should've had 3-5 years prior, that doesn't impress anyone (see also: Blackberry finally releasing a touch screen phone and even one with Android on it last year). 

They need a new hook/gimmick to the NX which excites people like crazy and offers something very new and can be immediately understood to the layman. 

Unfortunately it's basically come to that. 

But do we know that for a fact? They could just say screw it and double down and keep doing what they are doing for the hell of it. The system is coming out in less than a year and we still dont even know what it is. That doesnt really fill me with confidence. But you seem to have more faith in Ninty than I and thats cool.

yeah, they either are going to have to make something different AND something people want or...thats it they cant do there own version of PS4/One its too late for that.