The opposition definitely do not sit back against me. I'm in charge of a mid-table team and I get my fair share of opponents using Attacking and Overload mentalities against me. One team even lined up in a 3-4-3! What I don't do is play Attacking/Overload myself, because that's stupid (it's far too open then) and the reason why you see silly scorelines like 7-3.
The ME can handle it. I know, because as I've said, I'm able to defend against the AI going all out attack on me. It's the AI that has problems with these tactics.
Not exactly. Its just difficult to set tactics up properly to avoid it being stupid.