@ noname2200
I don't have the patience (or skill) to argue with you point by point, but I’ll at least give my opinion.
Comparing game sales to "DVDs, books, cars, homes, jewellery, and every other consumer good in the world", in my opinion, doesn't fly. Are any of the aforementioned goods created for a large sum of money and sold for a loss 100% of the time, with the creators hoping that they will eventually break even and receive profit? No. Most goods are created for peanuts and sold for a profit right from the beginning.
Video games most closely resemble movies. Movies are multi-million dollar endeavours that not only recoup their costs through theatre tickets, but through DVD sales as well. Why would it be so wrong for Jaffe to feel that the current system needs a revamp? Why should he settle with GameStop eating up his profits right from the beginning when movie developers and producers have more leeway before the used market takes off? I doubt he would be opposed to keeping the current system but with new games initially released as 6 month DD exclusive, like movies essentially are.
You said it yourself: "If they can't make do with what they have, they need to reconsider how they do business", and sadly, I don't think it's possible for everybody to be happy in this industry without major structural changes taking place. Developers shouldn’t be the ones to suffer due to the incompetence of the industry.
I apologize for not really addressing any of your points directly, but I just found it easier to give my general opinion.
