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That is a F'N good question.
Because thats what its called in Japan .
... so? A lot of games, in Japan, are called the same thing in English. Biohazard = makes sense to the story Resident Evil = ...?
'Resident Evil' is more multi meaning than Biohazard in the context of the games. Not only does it refer to evil that is resident in the mansion or other environments, in the form of zombies/mutated animals but that evil that infests those zombies/mutated animals. I think that the way that games studios always seem to think that minimalism is necessarily more suited to European game art though is a bit predictable though. The American Gamecube Resident Evil remake had a zombie attacking Jill Valentine. The European version had the words 'Resident Evil' on a brown backdrop.
biohazard it too straightforward and simple, while you can pull multiple meanings out of resident evil, plus sounds cooler imo
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