Being a game developer (though in the "old-style" console/PC part), I thought this was the money quote:
We don't track the resources that go into each game.
If it's a great game, it's worth a lot of money.
If it's a B+ game, it's essentially worth zero.
Troll through the average list of new releases in a week and you can clearly see that most people/groups/publishers either don't agree, or don't get this.
If it were that cut and dry, Wii shovelware-type games wouldn't be made. Clearly there's money to be made, just perhaps not AAA level returns to be had.