Riiight, because LJN didn't exist on the NES, there weren't games like Friday the 13th and Dark Tower on the NES. I think there is somebody you ought to meet, seeing as how he makes his living reviewing shitty NES games.
Oh and just FYI, from somebody that was actually working in retail during the crash? The "prevailing wisdom" is a big steaming pile of horseshit. gather around childrens and let this old greybeard tell ya what REALLY caused the crash!
Ya see little childrens the industry had back then what was called a "stock and swap" business model going and here is how it worked...you are a retailer, and the distributor wants you to sell games, but you don't know anything about games and are leery...what to do? "Simple" says Mr Distributor, "all you have to do is hand me any unsold games and I'll give you brand NEW games in return until they DO sell, you can't lose!"....Now I bet all you can see the big gaping flaw in this model, can't you kids? By taking out any risk it caused retailers to overstock to the extreme because it was like money in the bank, right? Every one that doesn't sell will be replaced for a new title until it sells and with each sale I make a nice profit so I should have a TON of games so I can have a TON of profits...yay!
And THIS boys and girls NOT the Atarti case, is what caused the crash. Even at the little Magic Mart I was working part time at in the middle of a town with only 10k people at the time there was 7 different game systems and over 1000 titles because it was like money in the bank, right? Well the distributors started to take any game for any system made by any company just to get new products they could flip, the markets became completely saturated with systems and games and all it took was a couple of the middlemen to go under for the whole thing to collapse. the retailers panicked when they couldn't just turn in old carts and systems for new, started dumping product in the channel trying to get out, and the whole thing went to shit.
So there it is boys and girls, the same thing that caused so many other crashes, gambling in the market caused by shady systems and promises of easy money without risk. By the middle of 84 I was walking out of Magic Mart with over a thousand bucks worth of games and systems for my $50 check and needless to say I wasn't buying any full price games when I was getting 4 Coleco games for a buck or 10 Atari which just made the few companies left cash starved as their new product had to compete with 10c games.....is it any wonder so many went tits up?