Your logic doesn't make sense. I never said it was the onyl reason they don't or even that it was a BIG reason, just that it's one possible reason that may be a small percentage of the entire reason why it wouldn't make business sense.

So to answer your question - because those businesses have looked at the financials and decided that the lost potential sales due to people who use emulators are worth the effort do develop games. Nintendo has decided differently. It's possible that the other publishers weren't simultaneously pushing a hardware platform which also comes into play.

I never said emulation prevents all people from paying for virtual consoles. I simply was pointing out that it diminishes the value. For example, if Nintendo released virtual console on PC today, I wouldn't buy it when I've already got emulators and raspberry pi's running arcades. If there was no way for me to technically play emulated games and VC was released on PC - I'd buy it immediately.

So there ya go. One lost potential sale, how many more?