Between Mega Man, Ryu, and now Cloud, it seems like the Smash team knows more about a lot of third-party characters better than their creators do

I think that before they add a character they must play through the game/s they are in to get a feel for them. Which is great because then they express the characters through both promotion and gameplay.

Little Mac when played right is exactly like a punch out game. Dodging getting the quick hard hits in before going in with the big KO.

Pac Man has elements from his less popular adventure games. His Hydrant and such.

Ryu has his inputs and hit strengths. Making him close to a Streetfighter.