Ugh, its something I’ve dealt with in the past, its to the point where when friends were over, we’d play Worms or soemthing…eventually I’d coax them into Power Stone 2 or whatever it was called…though that would be short lived…I’d pick Pete and its over. I don’t think there is a real solution to the problem. If you screw with the handicaps the better player often has to ‘over compensate’ and it goes from what should be a semi-close fight to the better playing going all out and getting damn enar a perfect. We’ve all played on a MvC2 machine at some point that had dmg set to max…and the pressure is so for lack of bettter term…intense…that you go balls to the wall and crush that little kid playing as wolverine/ryu/hulk. Lets see what else has been done to try and balance the game…oh yeah…
CPU assistance…
Hell pipin’ naw. I stopped playing my Wii out of frustration that lamost every game on the system is full of that BS. Its like the skill lies in not being the best, but third best, and coming from behind at the end to win at almost any Wii game. It might be doable from a dmg perspective in a fighting game, but as a Gief player, I’ve had those matches where I’m fighting someone who’s better than me, but I crack their defense early and beat the snot out of them for like 90% health before they get away. the player is better than me and I admit it…but CPU assistance would kick in and he’d nail me with a FATAL ultra or something 
As others have said, trying to base it off unlockable moves won’t work either as the more experienced players actually USE those normals more. Scrub Ryu? hadoken 12x in a row followed by hurricane kick or whatever…no normals…ever, unless its from mis-stepped execution. Gief? I’ll normal your ass to death…don’t need specials.
Its an unfortunate situation. You can pick a character you don’t know well, but even then your experience FIGHTING against that character usually trumpes your friends skill ‘usually’ (pulls out Shuma/Bison/Felecia MvC2 team and asks who wants a piece
) and even still…its just not fun.
I admire the idea and what your after, I jus don’t see a possible way to work it.
Now what might work in the LONG RUN, and I’m very irritated that this hasn’t been done since DLC has become a norm. AI updates. the computer ‘knows’ some basic comboes. As the computer difficulty increases, it just seems to ‘read your moves’ more than actually improve. Why not scale up the computer’s knowledge of comboes and abusive options. If you fight against Rufus and lose to his c.mp on jump-in enough, you’ll learn its the proper counter (not a Rufus player just an example don’t crucify). Or even still? Expand the training mode to situational…for instance
Current setup - Challenge mode - Combos/links
Idea setup:
Challenge Mode - Combos
Challenge Mode - Block Strings
Challenge Mode - Character Specific Defense (You pick say Cammy, and have to land reversal cannon spike on 3 different attacks, cannon drill on 3 different attacks, etc etc against each of the 20+ characters)
Challenge Mode - Offensive time Trial (pick your character and have X amount of time to do Y amount of hits on defensively peaked gouken/shoto, so your avoiding FB spam and DPs)
It would require a ton of work to set it all up and a ton of time to actually go thru it with your character but think of the pros. You learn all the comboes/links/cancels, you learn what block strings are safe or not, you learn how to defend and how to approach offensively against each character. Of course the game will evovle past those basics and many of us can breeze thru somethign like that, but it would take someone without the same level of experience a little mroe time and help teach them thigns to do and not to do.
shrug
But dammit I want the computer to upgrade its AI based on wha the norm is these days. Why isn’t Viper at least doing the EX Seismo combos :sad: