An "unhealthy product cycle," according to Nintendo President Satoru Iwata, is a game that is released at a high price and then subsequently receives price drops every few months. Speaking at a corporate management policy briefing, Iwata suggested that consumers will see this universal trend and simply wait until the guaranteed price drop, and retailers will regard lower-priced games negatively.

"Each software should have its own price point depending on its volume, theme, contents or energies and ... development costs," Iwata says. Iwata further believed that publishers should stick to their suggested retail price (unless they become Player's Choice titles, of course).

What does this imply for the pricing of future Nintendo titles? Likely, while we can expect Wii games to cost less than other next-generation offerings, do not expect them to cut prices every trimester.

This article was originally published on Joystiq.

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