When it comes to simulating real-life gaming, the thing that's really missing is the "feel" of the game. That is - the pressure on the court and how well the players feel. So I tought of the following scenarios:
Let's say you're with the Raptors (HOME) playing against LA Lakers (AWAY). You definately have the home-court advantage and this should affect the players morale (increasing their ratings especially in the offensive/defensive awareness). During a hot or cold streak, this should modify accordingly. Like if you got onto a hot streak making 5 consecutive shots the players get pumped up and feel they are invincible, thus increasing their confidence and awareness. Contrary to this, if the opposing team goes on a 12-0 run then they will be unwilling to play, losing their focus so you need to get the bench players in the game, so they can put on the effort and show what they got - you gave them this chance - so this should rise their morale.
On the defensive end, you know that are two main parts in defending, depending on what the offensive player's main attributes are. So, if you guard someone like Dirk Nowitzki (someone who shoots well but it's not an good dribbler) then you would go for a high pressure - this way lowering his shooting precision (if he decides to shoot over you), knowing that he can't rely on his driving to the basket. If you guard someone like Rafer Alston or Iverson, players with good dribble - bad shooting, then you are staying at a somewhat distance giving him the shot - this way reducing his driving capacity.
I think there should be ways for these things to be implemented into the NBA Live.