I'd get confirmation on Satoshi's actual words before condemning the writers for having him be naive about using the battlefield to one's advantage. More often than not the times he's seemed to have forgotten something important it is only because of bad dubbing, while the original made more sense. Therefore I will await what was really said.
One question though, what was with the Dragonair rescuing scenes? Why did the old woman go down to help both times? There just didn't seem to be much point to her being down there.
And why did the old man think that chasing away other Pokemon would cause Dragonair to appear?
I really don't get the Squirtle hate here. It uses a fairly weak move (did it really say in the episode it just learned it, or was this just the first time it was used? ) that fails to stop TR, thus showing a still has a good deal of growing to do. Then it, Marshstomp and Corphish make a cool combo to deal a more powerful blow. Corphish is still the star of the episode.