The basic storyline of the PT was okay. Jedi discover amazingly talented young Force user (I'd have made him a teenager just to avoid the pitfalls of a movie centered on a child actor). They see trouble brewing but ignore it and decide to train him. Kid gets too big for his britches, clashes with the Jedi, and finally turns to the Dark Side. Oh yeah, romance with Padme and all that. Big fight, the end.
how Palpatine masterfully manipulated and used people to further his goals and the fall of the Jedi.
I really didn't see him as "masterful" so much as the Jedi as woefully unobservant and even naive. In their position, you'd think they would be the savviest guys around, with a very healthy dose of paranoia.
There are some massive problems that needed to be solved before the PT had a chance to be a minimally competent story, such as:
1. It's no fun to watch a story where the good guys are being duped and they don't see it but the audience does. The Jedi should have been allowed to be more heroic than that, but the needs of the story turned them into schmucks.
2. Everyone was so damn humorless. This wasn't at all necessary. Anakin for instance, could have been very funny, with the kind of anarchic, frak-you wit that Han showed, but with a harsher edge. Even Vader had a mordant wit, so why not Anakin? It would fit his character if he was constantly being defiant, disrespectful and sarcastic towards the Jedi. And considering the Jedi were stuffy and kinda full of it, it would have been a nice way to get the audience on Anakin's side (even if we knew that his "wit" was a symptom of something darker that we shouldn't be rooting for).
3. Lucas made too many excuses for Anakin.
Star Wars is the tale of the eternal clash between good and evil. Whether you believe this clash exists in the real world is irrelevant.
Star Wars doesn't necessarily happen in the real world. Lucas got cold feet about the implications of his own story and tried to turn it into
Star Trek - which it isn't, and shouldn't be, and he's no good at that anyway.
Anakin should not have fallen to the dark side because Palps fooled him, or because he loved Padme too much, or any other excuse to mitigate what he did. He needed to fall because
he wanted to. Because evil is a shortcut to power, and he wanted power. We needed a scene where he told Palps that he knew exactly what was going on, that Palps didn't fool him for a minute (well maybe at the beginning) and that he wanted to join him, of his own free will. That would have been tragic. What we got was a silly farce that made no sense.
Best example is the Podrace in Episode 1. It's entire service to the story is to set Anakin free and the scene is about 15 minutes long.
It doesn't further the plot along for the entire 15 minutes because it's just a pretty action piece with cool graphics.
A similar thing occurs when Han is fleeing from Hoth and is flying through the asteroid field. However this time we have the romance between Han and Leia develop further interspersed with Luke arriving on Dagobah and meeting Yoda which are all key points to the entire story only broken up by a few action pieces and not the other way around.
Good example of how the PT isn't even competently written at the barest level of writing craft. A pointless scene should hit the cutting room floor. Eye candy is not a good enough reason to keep it in.