Game developers address cultural sensitivity and representation in character design by conducting thorough research on different cultures, consulting with diverse groups and experts, and seeking feedback from community members belonging to the cultures they are representing. They also strive to avoid stereotypes, cultural appropriation, and offensive imagery in their character designs. Additionally, developers may collaborate with cultural consultants or advisors to ensure that characters are portrayed authentically and respectfully. Ultimately, the goal is to create inclusive and diverse representations that celebrate various cultures in a meaningful way within the game.