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Depends on the genre. Certain game genres (mainly traditional core genres) and storytelling tend to go well together. RPGs and adventure games immediately come to mind (the heavy story option). But other less obvious genres like FPS/TPS, RTS, platformers and even sports games (where you start your own character/career) can benefit from some sort of narrative (the light option). In these genres the narrative isn't essential however, but is nice to have something present to push the game along.

Other genres however don;t need any storyline whatsoever and can thrive completely on gameplay like puzzle games, beat-em ups etc.