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TheMisterManGuy said:

Sure, but a lot of times, you come across an idea that you simply can't do nearly as well with an existing IP. So, you'll need a new setting and characters to fit the gameplay framework. I'm all for expanding on existing ideas and properties, but if you're giving me a fresh setting and characters, I usually prefer a fresh way to play as well.

Disagree somewhat on this the reason Nintendo's IPs have had long staying power is because of changing up the foundations of each installment and taking the games into multiple directions one of the series that highlights this the most is Zelda as each installment utilizes a different idea with some even changing the entire approach and foundations of the series (ALTTP, BOTW...) the result is a series that has not only allowed for room to experiment but has been able to develop both lore and characters in a flexible manner to the point each game is another unique incarnation of familiar characters. Mario is the other best example of this with the mentioned Luigi's Mansion, part of the charm and appeal is the use of Luigi and the Mario universe as just like with Zelda it's a fresh incarnation of a familiar cast that helps broaden appeal even more fore them.

The use of an existing IP helped shape the lore and settings of such a project in itself and as I said a bit earlier about developing character LM gave Luigi a more defined identity rather than being who player 2 plays as, his personality and popularity effectively stem from taking an existing IP and expanding it this is more a case by case thing than outright that should be a new IP scenario.