Nintendo, while aggressively litigious, do so to maintain the value and exclusivity of their IP.
Their games also never go on sale, and all sell really well over time, unlike many releases from other publishers.
The result is that Nintendo are able to release a solid cadence of high quality, first party games free of other forms of aggressive monetisation, maintaining the value of the games as art.
This is an incorrect way of looking at it. It’s not an all or nothing circumstance. Nintendo is simply the flip side of the same coin of publishers abusing consumers. The PC gaming world is filled with good publishers selling high quality games at full price with no abusive practices (heavy litigation or mtx). As well as indie developers who do sales and dlc but are ethical in their design. You just have to look away from the marketing behemoths who want to syphon your wallet dry.