I can definately agree that Oblivion's approach to level scaling was not very good. To me, some form of level scaling overhaul has become a mod that I simply won't play Oblivion without. In many ways, I feel this is one aspect where Oblivion made a step back compared to Morrowind. Now, I'm not saying Morrowind's system was perfect, but the biggest flaw of it, I would say, is that the game did not offer any threats that could provide a sufficient challenge for characters of a high level. Once you hit a certain level, all the enemies just stopped being challenging. Where, exactly, depended on your character, but it was pretty much inevitable. Now, sometimes, it's good to be able to easily kill enemies that were once a challenge to you. It really makes you feel that your levels have made you stronger. But when every enemy in the game becomes easy, it can get boring. Really, the point when I start to no longer want to continue with a specific character in Morrowind is often not when I've done all the quests I intend to finish with said character, but when the game stops being challenging. But if Bethesda can just fix that problem, and ensure that some enemies in the game can still threaten the player, I'd be mostly content with Morrowind's approach to level scaling. I don't mind sometimes finding enemies are too strong for me in RPGs. When that happens, I figure it just means I need to become stronger. This would, of course, sometimes mean that players will find their advancement in the game being delayed until their characters gain more experience, but I really don't think this is a bad thing.
And while I'm on the subject, give everyone names. Yes, that includes random NPC A in the ice cave.
While I can agree that making random hostile NPCs in the game not leveled did benefit Morrowind, I honestly couldn't care less about whether they have names or not. It's not like I'm going to remember they're names, and if I can't talk to them and will just have to kill them anyway, and they're not bosses and don't have a backstory, coming up with names for them just seems like a waste of the developers' time.
To be honest, I don't even care who most of the people in towns are, considering how generic they are, but that's because Berhesda didn't bother to try to make NPCs unique and that issue is really a subject for a different discussion.
Did you ever consider maybe other people in the world might lvl up too, you started out weak, dungeen dived, there tonns of others in the world doing the same, why should you be the only one getting more powerfull?? As for as bandits having nice armor maybe thats something that should be tweeked but they work in packs you work solo. With daedric once those gates open its not very rare any more anyways.
While it's true that realistically speaking, other people may get more powerful as you do as well, this would not be matched perfectly to your own progression. Others might advanced slower than you, or faster, or they might die before they have a chance to earn the same achievments as you. And weaker enemies aren't going to suddenly vanish from the world just because you became stronger, so even if you look at it in those terms, the way Oblivion approached the matter still doesn't make much sense.