Dragons are somewhat cliche in fantasy setting, but the fact that they are officially part of the setting means that people are going to want to see them. As someone who has been the DM in several D&D games, I know people want to see the second D in the games name, but I like to think they should be among the rarest creatures around. Usually I like to at least refer to them, just to show that they are around, and only have them show up when the players get to a high level. I would like to see a dragon in a future TESs game, but it should be something we have to work up to, either the big bad of the game, or one of the last quest givers in the main quest, like Vivec in Morrowind (exept much harder to find and kill).
The thing is that, being introduced by Morrowind, which was just weird, I never really think, "fantasy." Even if I was introduced by Daggerfall, that one is unique enough as well.
I guess I never had that feeling of, "why aren't there any dragons" because I don't automatically think "fantasy" just because I see elves and swords. I enjoy learning about the world they created, appreciate the different bits of literature and history that inspired it, and don't get hung up on the fact that it's supposed to be a certain way because everything before it was a certain way.
No offense, sir, but you think like a producer! It's that whole attitude of, "if it hasn't been done a thousand times before, it's not worth doing at all" that kills so many creative ideas before they ever have a chance.
It's the same type of logic that suggests that all pirates in fiction should be swashbuckling treasure-hunters just because of Robert Louis Jackoff Stevenson and his awful book.