Fred_DM: Recettear is a well-translated game, though. i'm kinda surprised they managed to translate a Japanese game this well into English.
Well.... It's not a literal translation. They took a lot of liberties with the original script so as to change out the Japanese humor which wouldn't have worked in translation, replacing it with English humor that works for the English audience. They also had the luxury of no constraints, so they had a fairly large amount of freedom over the end result.
When it comes to mainstream games though, especially those for systems with limitations (such as, say Gamecube games), there is a very finite amount of space to work with in which an English translation can be placed. It's easy to say a lot in Japanese in a far shorter space than English as entire words can take as little as one space, whereas the corresponding English would require more. So for those translations, sacrifices have to be made due to size limitations.
Further to that, depending on who the translation is for, there is also limitations on what terms can be used. Nintendo, for example, have very strict guidelines and pre-approved terminology that *must* be used; along with more general guidelines such as, "must be written so that a young child can fully understand".
Translations for larger games can also suffer due to the translation being performed by many translators who are often not even in the same location, thus consistency can be difficult to ensure and quality can suffer if editors don't catch said inconsistencies and errors. And don't forget, in such projects the deadlines can be exceptionally harsh and if you're being rushed, you cannot always ensure a top notch translation.
So, basically CF do good translations right now as they working on (comparatively) small projects with a far higher degree of freedom, both creatively and in terms of time. Most translators for games don't get that luxury (and also get an appalling amount of pay compared to the work done).