
Thing is, both these options are different kinds of terrible. You either have someone trying to shoe-horn showtunes into a story or taking popular song and fudging a tenuous story around them.
Marginally, if subjected to it, I’d rather watch a musical with really great music but a terrible story rather than a great piece of theatre ruined by people breaking into corny songs.
There’s probably examples of really brilliant, innovative musicians being matched with incredible playwrights to produce musicals with brilliant soundtracks that have gone on to be classic albums and gripping scripts that stand on their own as great theatre but I can’t really recall any.