I think that Commodore since the early 80s lacked focus. They would never decide to attack one particular market, but have wasted funds chasing everything....the 8-bits, the Amiga, the PC, the media center / set top box, the console market.
I think they would have done much better especially in the 90s, had they've decided to focus on one market and push heavily into it, be it Amiga or the PC clones.