[Server6]

It 100% has to do with retention of key talent and knowledge transfer. It seems the model for most western studios is to make one or two big successful games, then layoff all the staff and/or be acquired by EA/Activision/Microsoft. Then their next games flounder as they're milked dry. Western companies are only worried about the next quarter and treat talent as a bottom line expense.

[Matthias247]

I guess it's not only about what the studios do. Japanese also have a different kind of loyalty from employees which rarely ever change change. It's probably 20 years of average tenure, compared to 2 years in the US. And that's not because these companies pay so much more: They probably pay less for their most experienced stuff than what an employee with 2 years of experience gets in the US. It's just a different culture.