1- Not Sure
2- Modern gaming is not just the hardware but the software and market structure, NES is universally seen as the first modern console because of all 3 of the above, it perfected some previous ideas and brought in some new ones such as the controller layout with the D-pad and different type of games like SMB.
3- As a European I can tell you it would of caught on here like everywhere else but the gaming market was a far different place, EU has always been a harder place to release because of the multiple languages, tastes and differing laws now picture going back to the early 80s when non of what's about today is around. No localization teams, no HQs set up on different regions etc...
Most of the 80s and early 90s was companies trying to get set up and finding a manageable system to operate with. If you were a gamer in the EU before 2000 things could become very painful as we missed out on a host of gems across 2 decades and what we did get would often arrive a year or two later a bit like how Namco operates today. Don't even talk about importing back then.
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