The Z6 I & 7 I were a generation behind and disappointed even Nikon loyalists. Which customers was Nikon listening to?But the Z6II and Z7II included virtually every feature customers said were missing from the Z6/7. It's hard to say Nikon is not listening. But they don't intend to be all things to all people. People ask for some crazy things, and people usually are slow to respond to change - even if the change has a good reason.
Nikon's core business strategy is technology driven camera and optical company. They are not customer centric - they are technology centric. They do not have a strategy of being the low cost provider either. These core strategies are important and companies that try to straddle the fence between two options almost always fail.
Nikon has established a focus on the Enthusiast and Pro segments - with a plan that 90% of cameras and lenses will be sold to those segments. The lenses are outstanding and affordable. The low end camera segment is the one that has declined the most - to the point where it lacks the scale to be profitable. Nikon's Z50 is a good camera - and many people who use it for travel or casual use also have a full frame camera.
It was either complacent or had decided not to cannibilise its DSLR sales.