> It’s even crazier we got masterpieces like Mario 64 so early into the first 3D console generation.

True. I think it was a unique combination of factors shaping Nintendo's understanding as the early game console market emerged:

1. Due to the timing of the NES launch during the massive video game crash, which was largely caused by a flood of low-effort game titles, Nintendo understood how much game quality mattered and with Super Mario they saw how a good title could drive outsized sales for much longer than expected.

2. The incredible early success of the Mario games showed that a game character could become an invaluable, long-term brand asset. While Sega certainly designed Sonic with the hope of creating their own Mario-like character, Nintendo had already seen how much Mario helped drive SNES sales in the face of the stronger marketing and 68000-based, higher-res hardware of the Sega Genesis, a visceral demonstration of multi-generation franchise value. By the launch of the N64, everyone at Nintendo from the CEO to interns, understood the "Power of Mario", ensuring a flagship Mario title had whatever time and resources necessary to ensure success.

3. Miyamoto's massive, serial successes showed that a sufficiently brilliant game designer can create enormous value at a time when the Japanese video game industry didn't generally value developers or designers very highly. As the creator of Mario and Zelda, Miyamoto had outsized influence and credibility at Nintendo, giving him sole, unquestioned authority to ensure the feel and overall quality of a Mario launch title. At the time, an unprecedented degree of power for a video game lead.

Nintendo didn't get into the video game business believing in the power of building a brand mascot or the philosophy of "Kareta Gijutsu no Suihei Shiko" (Lateral Thinking with Withered Technology). Instead, a series of mostly random prior events had shown Nintendo the power of those concepts sooner and better than their competitors. By the early 90s, all console companies understood the importance of launch titles and that mascots could matter, but Nintendo was unique in having first-hand experiences so undeniably powerful and that they believed it with near-religious conviction.