Wright also expressed amazement that his old club would sell Alex Oxlade-Chamberlain to Chelsea amid reports the England international could be on his way to Stamford Bridge in a Â£35million deal.
Wenger's future was the subject of intense debate last season but he ended up signing a new two-year contract to extend his 21-year reign in charge of the Premier League club.
However, after suffering back-to-back league defeats at Stoke (1-0) and Liverpool (4-0), Wenger's tenure is again in the spotlight and Wright believes it is time for the 67-year-old Frenchman to say enough is enough.
Wright said on BBC Radio 5 Live: "Where do we start? The amount of things that are going wrong, it does come back to Arsene Wenger's door
We're three games in and we're literally at crisis point.
"Do I think he should go? I would like him to go simply because I do not believe now that Arsene Wenger can motivate those players with everything that's going on above him.
"And the way the players are performing on the pitch, for him to turn this around....(It's) for himself, for his own sanity
We are three games in and it's already an absolute nightmare.
"Where does he go from here?"
Wright does not believe Wenger will step down, however.
He added: "He is literally a hermit to the game
He goes home and he's probably on his phone
It's all football and more importantly it's all Arsenal
You do feel it's almost like his blanket, his comfort blanket.
"If he's not got Arsenal, I don't know what would happen to him.
"I don't know what to say about his future and what's going to happen with him now."
Regarding Oxlade-Chamberlain, Arsenal and Chelsea have yet to confirm the widespread claims that a deal is in place between the clubs for the transfer of the 24-year-old
Press Association Sport has contacted both clubs who declined to comment.
Wright was stunned by reports linking the long-serving forward with a move to the Premier League champions when he first heard them.
He said: "The first thing I hear is that the Ox might be on his way to Chelsea
''Chelsea want him - Chelsea, the champions will take him
That says we obviously have players that are good enough.''
Source : PA