Equipment
Sometimes a character’s initial equipment will reflect their background, like a poor farmer starting with a pitchfork rather than a real weapon, or a married character will have a wedding ring in their inventory like the protagonist in Fallout 4. This can flesh out minor characters and add more depth to major characters without simply having them state facts about themselves through dialogue. This more subtle storytelling can help flesh out a game world without resorting to clunky exposition.
Skills
In addition, sometimes the game mechanics themselves can be used to express changes the characters undergo over the course of the story; how they grow and change. Alongside standard level-up or advancement mechanics, sometimes a character having a moment of personal growth or revelation can be expressed through gameplay by a new skill or ability. Sometimes an injury or illness is expressed mechanically, allowing the player to experience the pain and frustration of the player character. For example, in Red Dead Redemption 2 the main character encounters physical health issues throughout the story, reducing their HP and causing them to cough.
Speech
Finally, the interactive nature of videogames means that there is also room for the player to define the character, in addition to the author. This is most often seen in the form of dialogue options, by which the player can define aspects of the protagonist. These can be decisions the character makes, but sometimes dialogue options are used to define the characters backstory or simply their reactions to events. These sorts of varying dialogue options can be used to allow the player to aect non-player characters as well. This is most commonly done using some sort of approval mechanic, where making decisions that the supporting cast approves or disapproves of, changing how much they like and trust the player character. Some franchises, like the Dragon Age series, even allow the player to change the opinions and outlook of some supporting characters through dialogue by encouraging them to see the world in a dierent light.
While video games have some unique challenges in creating fleshed-out, believable characters; there are also some unique advantages. The blank-slate protagonist can be an implausibly passive piece of cardboard that the more interesting characters talk at, or a genuinely engaging character in their own right, acting as a window through which the player views the game world. The large quantity of information about each character that most games give to the player can be totally divorced from the narrative, or it can reinforce and foreshadow important character beats. Like most aspects of writing, what determines whether the medium of video games enhances or hampers its characters depends on the skill and craft of the creators.
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