Western developers have created most of the best games this gen and japanese developers feel the need to copy what they are doing in a poor way. Their is a solid reason why dead space has far surpassed resident evil or mass effect 3 destroying binary domain despite its terribad ending and its called quality. just because gameplay is experimental doesn't mean its good....
I would agree that Japanese Devs (for the most part) have lost their way. Whereas Western Devs are innovating more often, and are actually making games that people want. Dead Space is a good example...Capcom keeps changing RE and then tells everyone that its what they want, whereas Dead Space proved that they can do it their way and the gamers will like it.
However there are still plenty of Japanese Developers that make some awesome games...its just that they are not in the numbers that they once were. But I personally blame the Japanese economy & culture, as they have changed for the worse. Its just not easy to take as many risks or to deviate from the existing molds as they used to. Japan has become more Socialistic in nature, and history proves that such a state stifles creative freedom and innovation. The US is quickly becoming invested in Socialism too, and I can see the economy & game design suffer because of it.
But the West only makes stupid dudebro FPS for the casuals! Good games don't exist anymore! I continue to purchase and play games despite hating everything and wishing the industry would crash again! Gaming will be great again if my JRPGs oversaturate the market again as they once did because only my favorite genre is allowed to be the most popular one!