Bagso, some good points in there.
Firstly, true MUC does have more direct routes, but MAN/LHR cant really be compared to FRA/MUC because of the distances involved. Yes, MAN and LON are 2 seperate cities with their won seperate catchments, but LHR/MAN are much much closer together than MUC/FRA. It is so easy to hop on a plane direct to LHR, or with the rail improvements, now the train can be done quickly also.
With this, much of the MAN catchement can get on a direct intercontinental route with relative ease, and this will always be the issue.
The only way I can see MAN getting a 'piece of the pie' so to speak is the new ruling that allows no more growth in the south. Whatever people may think of MAN, it is in the best postition to accept new traffic, due to the fact T2 can handle many more daytime and nighttime flights, good all round transport links, large scale maintence facilities, cargo terminal, 2 runways, 3 terminals to choose from and so on.
Now, this regional arguement, I think this is where people get a little ahead of themselves. LON is the capital, Manchester is a region of the UK. Man is not the main UK airport so hence, is a regional airport. Even business thinks MAN is a regional:
Emirates: Manchester will become the world's first regional airport to have a regular A380 service
Man airport: Manchester airport is the busiest regional airport in the UK
Awards: Best UK Regional Airport in the Globe Travel Awards
These are taken from news sources, very easy to find on the interweb. MAN is a regional, and even if it grows to be the biggest in the UK, will always be a regional. Its nothing to be ashamed of, it doesnt mean we will be doomed to always wearing flat caps and owning whippets.