Wheeling, in general, is a lot more than plowing through mud. Gys usually build their rigs for their local terrain. Your right, big tires and big lift don't mean much of anything, well, unless your compensating for something. If you pay attention to the big, well know off road builders, they have changed from tall, stiff suspensions, to low slung, soft suspensions with lots of travel. Heck, even king of the hammers had rigs going to full independent suspensions! This hobby is changing everyday, but maybe that's why some of like it so much. Personally, I like having a bit bigger tire(33's, woohoo!). The pathfinder in general looks a lot better with a bigger tire.
Some say "If your not breaking stuff or getting stuck, your not trying hard enough!". While i agree pushing your limits is a good thing to do, I don't think it necessary you need to break stuff every time you wheel. It's is what a good dual purpous rig is about. Works great off road, but can still take you to work everyday.