I used to play larry quite a lot. I tried different ways of approaching the MU, the most affective I had was playing him normally.
The problem with waiting for them to approach is even if you can force him to approach, its not going to lead to a grab. If youre just sitting there hes not going to attack you with moves in your grab range, he's going to ftilt you, jab you, or maybe grab you. If you powershield either of the first two you can punish him, but not with a grab, and if you do go for the grab like he'll expect then you'll get punished. Expecting youll be able to beat falcos camp or approach game with just grab and not approaching is heavily underestimating falco. The only exception is if the falco fishes for the grab himself; pika has the tools to get his grab before falco if thats what both are trying to do.
Personally Ive found the best way to get the grab is to play the MU normally and just wait for the grab to come in its natural course. Falcos are forced to play a very limited playstyle just by the grabs existence and its very noticeable. For them it ends up as a screwed if you do screwed if you dont scenario bc if they play their limited style their going to get hit with a lot more and that makes it easier for them to fall into the grab, but if they try to play normal one read can cause them to get grabbed. At the very least theyll take way more damage then they normally would.
Anyways, bc of that I dont think youll be beating a falco thats actually better than you. If you cant land consistent hits anyways then youre going to lose most likely. But if youre playing someone even remotely on your own level then the pika will probably win an overwhelming majority of the time (unless youre camping for grabs, lol).
Granted I still fish for grabs 90% of the time bc it definitely requires less thinking or just to see what works, lol. Anyways thats my thoughts.