it makes them look bad ass anyways

^ not just gambling. they do everything from gun-running, pornography, prostitution, protection racketeering, drugs, etc. also, they have hands in a lot of legitimate businesses (did you know that Pride FC closed down because it was leaked to the public that the Yakuza was running the thing?)

I think Yakuza gets involved with basic stuff like drugs, prostitution and gambling.

Perhaps the movies make them seem more powerful than they actually are.

Millions of people in Japan know who the Yakuza are, and millions of other people worldwide do as well. They're not a secret organization by any means. Hell, the Italian mafia loved The Godfather, and that truly brought them into the limelight (much more than a niche videogame, anyways).

Yeah, but they mainly just do pachinko. They own basically every pachinko parlor in japan.

Sure they do some other stuff too, but it's not a big deal. Banks and other corporations are much worse than mobsters.

Mobsters in America will lend you money and maybe beat you if you don't pay it back, but they will never kill you or take your house. Same with all mobsters. They do illegal things, but only because they don't have government backing like some of the worst industries do: insurance, banking, Debt Collectors, etc etc. Those industries literally strangle people whereas yakuza and other mobs don't. They just want their money and don't want to make enemies.

Japanese people though are just unnaturally scared of Yakuza. Japan has one of the lowest crimerates and homicide rates in the world.

maybe they aren't that powerful
maybe they don't think how they are presented in the game will affect their image( however it shows it people can brush it off saying it's a video game not a documentary)
maybe they don't care

They don't actually go around announcing themselves as Yakuza in so many words, but everyone in Osaka knows where their territory lies and Yakuza families are generally well known. Plus you can simply ID individual members by the way they dress and walk. That's their way of letting civilians know "I'm a Yakuza."

I was shown on a city map where their territory started by my boss at the time when I was in Osaka visiting Capcom R&D, so it's pretty common knowledge.

"Much of the current activities of the yakuza can be understood in the light of their feudal origin. First, they are not a secret society like their counterparts of the Italian mafia and Chinese triads. Yakuza organizations often have an office with a wooden board on the front door, openly displaying their group name or emblem. Members often wear sunglasses and colourful suits so that their profession can be immediately recognized by civilians (katagi).

Even the way many Yakuza walk is markedly different from ordinary citizens. Their arrogant, wide gait is markedly different from the quiet, unassuming way many Japanese go about their business. Alternatively, they can be more conservatively dressed but when the need arises, they can flash their tattoos to indicate their affiliation. On occasion they also sport insignia pins on their lapels."

^ gah, they just go around flaunting that they're criminals? i don't get it. how are they not arrested?

So how come Mafia allowed a mafia game? how about movies? strange topic

haha... i love this thread.
What are they going to do?
Murder the developers?

Its like asking why does the mafia allow the making of the mafia or godfather games.