Because logically it doesn't make sense. Making games is usually a million dollar commitment. Think about it, you just put in over a million dollars and like a year into a game. Somewhere at the end of development everyone realizes it sucks. Do you drop it and get 0 dollars back? or put it out and at least generate some revenue from it.
That is the traditional business model. It should be interesting to note, that many companies do not drop games but delay them until they become good. Blizzard and Valve are both notorious for delaying games. Blizzard has has one very publicized case with Starcraft: Ghost where they outright canceled it.. Its interesting that the companies that seem to do this are the ones that are revered by gamers everywhere tho. Of course they're big companies, not everyone has the balls to hold onto a game while shelling out another million or another year.
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