Well if Commodore maintained it's competetive edge by making it's own CPU's like it did for the C=64 they could have maintained their dominant place in the market. The C=64 was a huge hit in part to the low price and Commdores ability to hit the lowest price point.
As soon as they started using CPU's from Motorola they lost that edge.
They also had lots of talent under one roof. Personally I'd have those guys designing graphics chipsets, and sound dsp's for use in amigas first then license out to others.
To give you some context for todays world. Imagine if INTEL set out to make a low cost home-media center pc. They produce the CPU's and supporting chips. They could undercut everyone.
If I remember correctly Commodore tried chapter 11, but from what I know about the process your piers (vendors and suppliers) decide if they want to allow you to live or die.
Now who was supplying Commodore with their parts? Chinon, Sony, HP, ETC. Their competition.
Lets face it, Mr. Tramiel didn't make many friends in the industry either. I think when push came to shove it was time for Commodore to get theirs.
Sadly the Amiga paid for all those transgressions.
