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JEMC said:

I agree that S-E is trying to chase the 15+ million seller club with their main games, a feat that few games manage to do, but one of the problems of their smaller games is that they usually make them exclusive to one console platform and that, for some weird reason, they go with a "unique" visual style that's not for everybody, shooting themseles in the foot.

Also yes, the size of a studio and how long they've been working on a game are very important metrics to gauge success or failure. Many games are a financial success selling 500k copies, and then there are others that sell 2 million and lose money. It's not a "one size fits all" situation.

Do they? Some are 2D-HD, but the rest are typical anime style like the massively popular Hoyoverse games. They just don't connect with audiences much.

And I agree to the second, I'm just giving you the reason they don't downscale everything to seek higher profits. Also, Japanese labor laws.