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Nuvendil said:

I think reasons 1 and 2 are not just easy to fix on a home console but could be totally flipped on their heads. Due to the confined arenas of the battles, the visuals could be outright spectacular. And the cut scenes are already great. You could do the maps - overworld and battle - in 3D and high detail a la Total War games for moving around. And of course, increasing voice acting, while costly, would be easily done. The writing is there and they cast well.

For gameplay, two things to look at. One is that XCOM: Enemy Unknown showed that strategy does have a descent potential on consoles. But the second point is you could help increase the RPG "feel" without messing with the gameplay. Making it possible to, say, buy and change gear (armor I mean) and have all changes show up visibly in battle. And removing the railway setup of Awakening on the over world and make it a map you roam like in, say, Chrono Trigger. This would help bring in more people who enjoy traditional JRPGs without messing with what Fire Emblem fans want.

And of course, advertise and timing. This sounds weird probably, but I think the game I just described could be a very good launch title. For the same reasons I feel that way about F-Zero. And that's spectacle. If you go balls to the wall graphically, a console Fire Emblem could easily - EASILY - be one of the most beautiful titles on any given home console. And every launch needs a showpiece. And being that showpiece helps sales.

 

As for what you described, that's more of a spinoff franchise under an umbrella IP.  Kinda like Persona is with Shin Megami Tensei.  That would be a good option and tactics could be preserved with something like the tactical view/mode in Dragon Age Origins.  But you run the risk of losing the game's unique selling points and putting it into the ring with opponents outside its weight class.

That would be hard to do, because I don't know any SRPGs that did that correctly.