1. Butchering the A1200 to reduce cost
2. CDTV
3. Not marketing the CD32
CD32 is an interesting one, had Commodore known the first thing about console design and production they would have re-jigged the onboard memory to 1.5mb Chip .5mb Fast to produce a machine twice as fast.
Every console you care to mention has weird memory setups to maximise their speed, C= threw away 50% of the potential speed for the sake of either a SIMM socket (the N64 had a memory upgrade slot for the graphics, and the Saturn used RAM carts etc so this is not unusual) or solder in 256k or 512k of Fast ram as required.
The rest of it is kind of historic, by the time the A1000 was in shops in the EU IBM ALREADY had VGA finished, so technically when the A500 and A2000 machines were released with zero improvements (no parallax scrolling worth a damn, pathetic weak hardware sprites like the Atari 8 bits, insufficient sound channels) we all knew where this was heading. The A3000 and A600 with the same unimproved chipset abilities and the AGA with the same 8 bit sound with 4 channels and 8 bitplane(!!!) 256 colour mode were the final nail in the coffin to a company which lost its way since Jack was kicked out (in favour of that brown midget donk and the old codger funding things....yeah that was a good move).