

I am also playing Xenoblade Chronicles X. Since I played through half of it in the Wii U era, I feel so comfortable picking the dialogue choices that I wouldn’t dream of selecting on the first play through. There’s a lot of funny stuff in the dialogue trees!
I just reached chapter 4!
It’s pretty simple: they repeat the dialogue because “you didn’t understand it” (but will often throw shade before they repeat their explanation).
The other case has to do with affinity. There’s often two opposite dialogue choices. The polite one will get you affinity points with polite party members. The rude one will get you affinity points with more rebellious party members.
There are also risky/cautious choices, braggart/humility choices, etc. I just feel freed up to not be an upstanding member of NLA since I took that route about ten years ago.