The main reason the enthusiast product, the previous-gen Si Coupe, wasn't selling is because of Honda's refusal to improve the platform. The current-gen Si Sedan still has a 200hp engine although for the past couple generations its been in turbo guise. Mazda has improved the Miata, Toyota has improved the 86, Honda has refused, and after literal decades of selling a Civic Si with the exact same output which eventually fell behind similar entry-level enthusiast cars, including from Hyundai. Hyundai and Toyota have stolen all of Honda's steam when it comes to enthusiast products because Honda has refused to take any risk.
That's because the Si remains nothing more than a fully-optioned, sporty trim for the Civic marketed only to us. It's a $30,000 car w/ basically zero options beyond accessories, same as it was one when I had one in 2008. The Miata starts at $30,000 but can rise right up to $40,000. The GR86 starts at $30,000 but that climbs to to $32,000 if you put a sport package on it. If you want extra trimmings, it's $32,500, but it climbs to just under $36,000+ fully loaded. The Miata really isn't a competitor in the Si's market to begin with, and the last review I saw of a GR86 against a Si had it coming dead last in a 5-way battle with it, the Si, the Elantra N, the Golf GTI, & the WRX as a sub-$35,000 comparison. The Si placed 2nd behind the Elantra N, same result when C&D put the Si, N, & Jetta GLI against each other.
So, really, the only company that's managing to best Honda's Si appears to be Hyundai who seem to be doing a phenomonal job against every one in every market they head into, esp. with the N/N-Line models. They're taking the Genesis name to the
Hypercar class in Endurance racing which is an incredible feat. Toyota though, I don't think they've stolen anyone's steam. They build solid cars for enthusiasts, but they do the same thing you've mentioned of Honda; they're not really taking any risks, either.