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Hideki Kamiya thinks Japan should be proud of ‘JRPG’ and wants to use ‘J-Action’
(www.videogameschronicle.com)
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There was a strong dislike of JRPGs and Japanese games in the 2000s.
Development struggles
From what I heard is, during the shift to HD development in early PS3 360 era, many western devs switched to use Unreal engine, while Japanese devs were sticking to their in house engines. But, in house engines were not cheap nor easy to build / maintain, so they struggled to recoup their expenses.
One of their strategies is to make their games more appealing to the west, but they were kinda doing it from the lens of what they think American games are appealing, so we get games that weren't universally loved, like
Inafune was partially right, although hyperbolic, saying that Japanese games are dead. They were definitely struggling to find an identity.
Squeenix's outputs
Then there's Square Enix during PS3 era that published these games, many were received poorly
It didn't help when we got bangers like Mass Effect trilogy, Skyrim, Fallout 3. So Square definitely disliked the JRPG term. However if you were to ask smaller Japanese devs at the time, e.g. ATLUS or Nihon Falcom, they'd probably prefer the term, because their 'niche' games (at the time), sold quite well while Square struggled.
Not a really descriptive term anymore
But you're right, JRPG is non-descriptive when it comes to reviews. I'd prefer that reviewers have a small box that lists out the mechanics of the game, e.g. turn-based, random loot drops, predesignated character, linear dungeons, etc. But even nowadays reviewers are recommending games like Jedi Survivor, while the game is still a broken mess, which made me wonder what's the point of reviews anymore?
It's great when the devs like the term, but it barely helps anyone when reviewers use it. Not to mention the political tension when they use the term JRPG for games developed by Chinese or Korean devs.
Of course I haven't mentioned that some reviewers were just racists fucks. Also it's the period when Famitsu will just give any games 40/40 if the publishers bought enough advertisements from them, FF13 got 39/40, and Square was probably wondering why the games were not well received outside Japan