Here is some info I managed to figure out:
All of the menu related content is in the /layout/ folder on the disc (in the DATA partition), mostly inside .arc files. These arc files are LZ77 compressed U8 Archives, but they also have a 0x20 byte "SCF" header at the beginning of the file:
Code:
53 43 46 00 02 00 00 00 xx xx xx xx 00 00 00 00
00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00
xxxxxxxx = the filesize of the LZ77 compressed file that the header is attached to (little-endian). I have no idea what this "SCF" header is for, or what the value of byte 0x4 is used for either...
So, to open an arc in the layout folder, just remove this header at the start of the file, then "un-LZ" it, then open it in a U8 editor. Then after modifying, just recompress it with LZ77 and then add back the SCF header (remembering to correct the filesize in the header as you go) before putting the edited file back into the game.
As for actually editing the Menu's "Text" inside ther arcs.... well, the text... is not text. They are all TPL image files (IA4 format TPLs). stored in: {arcfile}/(arcfilename)/timg/*.tpl.
Example: So for the Title screen menu (TrainingMode, StoryMode, Wifi etc.) which is inside /layout/title_02.arc, the "Story Mode" button's text (when wiimote cursor is hovering over said button anyway) would be title_02.arc/title_02/timg/s_mode_l.tpl (and there is another tpl, s_mode_s.tpl, which is used when wiimote cursor is not hovering over the button).
Also, there is some text (actual unicode text, not tpl images) residing inside some of the .sgo files in the disc, but I do not know how .sgo files are structured (all I know is that they are LZ77 compressed, and have a SCF header, like the .arc files). If someone was able to figure out the .sgo format, we could be able to edit the text insode those too.
...I hope that explanation makes sense to you guys.
Just thought I would post this here to see what others can do with it, because I doubt I would actually really be able to do any editing, seeing as I am no good at image editing and know very little Japanese.
TL;DR version: Most menu text is in /layout/*.arc, all of which are LZ77 compresed and have a weird "SCF" header attached (after compression), and all the text are actually TPL IA4 image files instead of just being text. Also more text found in some .sgo files too (which also are LZ77 compresed and have a weird "SCF" header attached (after compression)).