Great analysis! I love musicals, but tend to really struggle with musical movies for many of the reasons you've listed here.

I'm still upset about that Into the Woods movie... it's one of my all-time favorite musicals and is such a bad movie!

I recently watched the 2023 The Color Purple and really enjoyed it. I think the music was (for the most part) handled very effectively and helped enhance the story rather than detract from it.