The crux of this is whether Us vs Them is instinctual or learned. I don’t think we yet have a definitive answer, but certainly Us vs Them is so ingrained in our ways of life that removing it would be extraordinarily difficult.
Again, I may be excessively cynical, but my belief is that some people, maybe even most people, WILL take these mental pathways you describe no matter what, and the best we can do is provide distractions. Bread and circuses. At their best, these distractions channel our self-destructive tendencies into harmless oceans of impunity. At their worst, they are hijacked by ne’er-do-wells to transform the apathetic into frothing zealots of a cause they don’t even care to understand. It becomes the responsibility of those who are paying attention to design a system that is resistant to abuse.
Presuming I am wrong, that means that there is a path for society to eliminate competitiveness from its apparent nature. I agree that would lead us toward utopia, but I am very skeptical such a path exists, and that those who attempt to follow it will simply be eaten by the wolves they believe they can train.
Pokemon is how a lot of people got into games to begin with. It was a new and innovative experience from their perspective. Pokemon Red/Blue was a competent game with some fresh ideas, but through luck/marketing it became the launch point for a massive population of people into the gaming industry.
So now you’ve got a few factors playing into Pokemon hype:
Nostalgia (you never forget your first)
Production value (this made money, pump more money in)
Incidentally a formula that favors expansion (just add more Pokemon)
These factors are enough on their own to carry a franchise for a while, especially for an otherwise ignorant audience that doesn’t play anything else (just like the people who just play FIFA games and nothing else). But at some point, it becomes too obvious even to the most zealous supporters that the formula is, well, a formula, and it’s not changing or improving, and even they finally begin to criticize the product. It’s easy to have a favorite pokemon out of 150, maybe even 450, but now there are over 1000 and it becomes exhausting even for die-hard fans. Even the number of types has exploded to 18 without actually having any interesting interactions to justify them, it’s just more for the sake of more.
Plus, the most recent releases have been impressively lazy, again so much so that even megafans can’t nostalgia their way out of it.
All this together makes for a history of a franchise that was one vehemently defended but is now seen as an embarrassing phase one went through as a child.