Let's be excellent to one another.
I think Fugu made a really good point. There is a difference between translation - that is, taking something indecipherable and making it understandable - and adaptation - that is, taking something and turning it into something else that better suits your needs. The process of localization is largely dictated by the desire for a larger market which arguably benefits from the "deculturization" of foreign material. However, something that is good for marketing does not make it a good translation. Let's see if I can't make that contrast more obvious.
Let's make two basic assumptions that are a bit in the world of fantasy, but let's make them anyway to see where it takes us:
1) It doesn't matter who is going to play the game.
2) The game in question has significant historical value in its native language.
I think that if we make these two assumptions, what we find acceptable in translation changes drastically. Were the original game to be something significant, greater care would be taken to ensure that the original's integrity, and all the cultural differences contained within, are retained and properly conveyed. Likewise, if one was not creating the localization for a particular audience, the resulting translation would not be adapted towards a limited bias.
Now, let's make two different assumptions:
1) The audience for the game has very specific, very narrow expectations.
2) To reach the widest audience possible, only the most common expectations will be appealed to.
What's different now? Well, for one, you end up targeting the lowest common denominator. If 70% of your audience can read and 30% can not, the only way to target 100% is to avoid the need for literacy. Second, you end up changing the original work to target a completely new audience. Making these two assumptions forces you into a mindset where it doesn't matter what the original work is, it must be changed as extensively as possible to target this new audience. Granted, it's usually not feasible. Yakuza 3 isn't going to suddenly take place in Miami, though Puyo Puyo might become Dr. Robotnix's Mean Bean Machine or Pop 'n Music might now have Chumbawumba and Britney Spears.
The difference between these two approaches is that the former thinks very highly of the original work and very highly of the people who will potentially enjoy it (no concessions have been made on their behalf because it is assumed that none are needed). The latter approach thinks precious little about the original work, so little that it seeks to change or rewrite when things become inconvenient, and thinks even less of the people it expects to enjoy it (concessions are made on their behalf out of fear of what they might not find acceptable).
Let's assume that these are the two ends of the spectrum, rather than complete rewrites and ultra-literal translations. I think that most professional translations that aren't a damn embarrassment fall somewhere in the middle, though usually leaning towards one side or another. If I pick up a Criterion Collection Blu-Ray of a Fellini movie, I think it is probably going to veer towards to the "preserving history" perspective. If I get the dub-only Crayonshin-chan dvd sets which have been completely rewritten, top to bottom, then I think it is going to lean a bit more towards the "pandering" perspective.
So ultimately, what I'm asking for is less pandering and more preserving. Is that really such an outrageous thing to ask?