Despite the fact that I think geography used doesn't go much beyond being geography, it would obviously be good if they used the whole France. I don't think they would make a second region based on French land, so, they better off covering the whole while they're at it. Now, does a possible location based on Pyrenees indicate that? It doesn't, since even Unova had more than just New York (let alone Manhattan), and that can be said about the Japanese regions too, probably. Now, would that be problematic? I guess it would, for the people that care (and didn't mind Manhattan being a separate region in spite of being 1/1000th of Hokkaido in first place). As I personally am for open-ended usage of real-world material, I wouldn't mind using the territory as a "region" rather than a country.
I agree that Chugoku / Shikoku would be the ideal location for the "second story" of the generation. I'm only a little undecided on whether that should mean waiting for the second pair of games for Generation III evolutions. It wouldn't change much, but I want XY's ecosystem to be very well-balanced (the opposite of BW's one). Now, there's always Hoenn; I guess they should please the pro-remake fans somehow. I hope they'd be satisfied with seeing the later years of Hoenn -- throw in Emerald on eShop as well, and all is good.
I agree that Chugoku / Shikoku would be the ideal location for the "second story" of the generation. I'm only a little undecided on whether that should mean waiting for the second pair of games for Generation III evolutions. It wouldn't change much, but I want XY's ecosystem to be very well-balanced (the opposite of BW's one). Now, there's always Hoenn; I guess they should please the pro-remake fans somehow. I hope they'd be satisfied with seeing the later years of Hoenn -- throw in Emerald on eShop as well, and all is good.