I'm not the creator, but as an English speaker, I can tell you that "Psycho Stalker" would be a much worse title for the game. Its bland, generic,and doesn't describe the game beyond having a psychotic stalker which a lot of horror games have. Saiko no Sutoka says this for people who get the pronunciation, but also says that the game has a Japanese influence of some sort. Also, you're not going to find anything else called Saiko no Sutoka or anything described as Saiko no Sutoka. Even if a player doesn't have rudimentary Japanese knowledge to know Saiko no Sutoka is romaji for Psycho Stalker, they'll at least note this game has a unique name.
I more or less agree with everything else you said, but they don't really bug me enough to feel the game needs those changes. Personally, I felt like the intro was on the long side.