On the surface it almost defies belief that Nintendo should seemingly refuse to even acknowledge to the external factors currently weighing in on the industry. However, Fils-Aime is right to point out the Wii's overwhelming success at this particular price point and that the console continues to represent value to consumers. This months NPD results definitely enforce this suggestion.
What needs to be remembered is that the gaming industry is not just in the business of selling physical products but intangible experiences that occupy a far more complex position in the minds of consumers. By not engaging in a price war with the other consoles, the Wii in particular stands a better chance of holding its perceived position and distancing itself from any ongoing "console war".