I don't understand people that say the Wii U hardware is weak - the Wii U is categorically more powerful than the 360 or PS3, and there's plenty more to come as developers find optimisations.
The Wii U sits nicely inbetween PS3/360 and the new generation PS4/XB1 - it's perfectly placed - it's where it needs to be.
Just barely being able to beat a 7 year old console which was made on 90nm iirc, with a 40nm chip this much later IS pathetic.
Beating 7-8 year old hardware in the technology industry is embarrassingly easy. The best example of tech today, will look crap compared to what we have in 7 years. What is difficult to make today will be blindingly easy to make in 7 years, thats how technology is.
The Wii U is massively underpowered for a console released in 2012 intended for use over the next say 4-5 years. You can get the worst possible smartphone available today and of course it will be faster than the best smartphone from 5 years ago... that doesn't make it fast or good. The 360/ps3 are seriously underpowered hardware today, they were underpowered(but very well utilised) 7 years ago let alone today.
In terms of games driving sales, we've seen already that previous game releases have driven sales up, with iirc them saying along the lines of sales going up 200% or something for, I forget the game. The problem was the sales were something like 2500 and the new game pushed sales to 5-6k. If Pikmin increases sales 400%, its still no where near enough. The problem is the die hard fans, the guys who bought Wii's and absolutely loved them, already brought their Wii U's, the guys who didn't like their Wii's won't buy Wii U's. The people who got into lighter/cheaper gaming with a Wii who decided they loved gaming, a lot of those will probably move up to a XB1/PS4. The Wii U barely beating the last gen while being expensive and using overpriced hardware was absolutely the wrong move.
AS for cash on hand, people forget what a lot of businesses do... when it goes bad SOME invest all their money, lose it all or make more, a LOT cash out while they have the money rather than risk all their cash.