retreating and mashing jab is a signal for “we’re hitting a rough patch, let’s let it clear up before we keep playing.” obviously not everyone can be expected to know that but I’ve seen it a lot. it’s always a bummer when someone tries to keep playing when you’re moving at 1/4 speed. you’re walking backwards to let the lag clear, they’re jumping in with roundhouses repeatedly. silly.
I don’t think you should try to adjust to lag. if the connection or the player makes it so you can’t play a worthwhile game (as close to approximating the real offline game as possible) just don’t play them again.