Exactly.
The controls aren't really crappy, though. They work. I find the controls relaxing for the most part. I just hold left trigger to run, and when I want to turn, hold/press left or right. This means I can play the game left-handed, and unless I want to talk to someone, that's pretty much fine. I like that and think it helps the game feel even more relaxing than it already is. Of course, another improvement Shenmue II made were better controls: option to control Ryo with analog stick.
One addition made in Shenmue II is the dialogue window. Depending on the subject: Martial artists, Wulinshu, Lishao Tao, Yan Ting Apartments;etc. you could ask anyone about these subjects. On top of that, I wish you could just chat about ordinary day stuff with people in II, but that goes against the games vibe since you're a foreigner and not in the cuddly nook of Yokosuka, so it's clearly intentional. Still a dialogue window like in II could improve Shenmue 1's interactivity. Of course, II has LESS interactivity than 1: no rotary phones, for example, and you can't just pick up anything you see.
I wish the games were more of a life sim, as well. I wish there were a reason for those restaurants in I and II beyond trying to get information. I wish Ryo had a hunger, fatigue, fun, and social bar. Much like the Sims. When he's hungry, he has to eat; if he's tired - from kumite with Fuku or practicing moves in the parking lot - will cause him to get fatigued, which will make certain basic things like playing darts for instance harder to do; a fun bar, which would require him to energize his mood a bit from a game of darts with someone or something; and a social bar which is self explanatory. In Shenmue II, I wish you could get kicked out of the hotel for not managing to pay off your debts, and then sleep in the streets of Hong Kong and get mugged.
In Shenmue 1, there's an npc called Miki. She always asks Ryo if he wants to do something. I kinda wish you actually could, and challenge her to a dart game and kick her ass. It's small things like that which II really improves on to make the world feel a lot more alive, though it's still not ideal.
Seems to me, the main games Shenmue 1 can learn the most from is the Shenmue series itself, with a helping of other games like The Sims. If they do make an HD version, all they'd need to do is add an option to control Ryo with analog stick - which is easy since it's already in II - and the option to wait for appointments like in II.
