I'd like an NPC to start talking to me as soon as I come close to them, rather than staring mutely at me until I hit the context-sensitive prompt flashing over their heads. I'd then like to still be in control of my character throughout the conversation, walking around, fiddling with ornaments, hunting through drawers, shooting arrows at bunny rabbits, etc, with dialogue options being selected with some quick on-screen prompt using a button or control that is otherwise unoccupied. I don't know if you guys saw the Plinkett review of Revenge of the Sith, but he makes a good point that all the dialogue scenes are just two people standing (or sitting) and gabbing at each other, and it's incredibly dull. People do other things while they talk; it makes for more dynamic discourse and an opportunity for characterization.