@Pierouge I managed to resolve this issue by changing the Joypad settings (Hotkey + X) to default for Joypad 1 (no analogue). You can still use analogue sticks with the game even with this setting turned off. The game loads up and plays normally (at first). It also looks great with enhanced graphics. I hope this helps
However I now have a new problem. The game freezes (just the game, I can still Hotkey quit out of the game) when I meet the two wolves after the first save point.