The fur shading in the GC game definitely isn't as good as what's being shown in this clip. Everyone should get used to the idea that you're not going to see much in the way of brand-new special effects on what is basically a juiced-up Gamecube. You should, however, expect to see better textures, bigger draw distances, more polygons, Gamecube special effects in greater quantities and at higher fidelity, and so on.
In some sense, the best Cube games looked like PS2 games with better textures and special effects--it's just that those things do add a bit to graphics. Heck, you could even say that about 360 games.
Yeah, and Gamecube was (and still is) very acceptable to me. Though, you might see more normal mapping and stuff in Wii games.