The most recent blow to the company came on January 17th when it announced shipments for the Wii U during its current fiscal year (April 2013 to March 2014) would come in at 2.8 million. That was down from the company's original forecast of 9 million.
Nintendo walking back expectations wasn't shocking. Between April and September of this year, the company shipped an astonishingly low 460,000 Wii U's over a six-month period. Everyone knew there was no way the company would come close to its target of 9 million systems shipped. However, Nintendo's January 17th announcement did verify suspicion that the Wii U's holiday season wasn't particularly strong.
Nintendo needs to act decisively in a few key areas, or risk an astonishingly fast collapse from its golden age in 2009.