To be perfectly frank, I couldn't care less what a game is designed to be. All that matters to me is what it CAN be. Smash bros gives you A LOT of adjustable settings (items on at different spawn rates, selecting which items can be spawned, selecting which stages appear on RANDOM?, ect.) If some combination of settings happens to yield a fairly balanced, competitive game, then I'm all for it. (I use the term "fairly balanced" loosely as I know melee is on the lower end of competitive games when it comes to balance <_<)
Melee makes a lot of radical changes from it's default settings just to be playable. But those changes turn it into a very deep, very challenging competitive game.
In a sense the system is not really that flawed, since it's adjustable. It came out of the box tuned into the wrong settings (heck, even casuals don't play 2 minute timed matches on Icicle Mountain), but that doesn't mean that the mechanics as a whole are bad...because the game not only lets you change it, but even puts it in an easily accessible menu (no more going to "options" to change stuff, it's at the top of the screen before every game
)
But I will concede that on the "default" settings melee is a terrible, terrible competitive game and the smash community had to pretty much gut it to MAKE it playable. Doesn't matter one bit to me since the end result is really good, but I know that matters to some <_<