Confusion isn't the word I would use. It's not an either/or situation. It feels like a bunch of random stuff dropped around (a bit reminiscent of Pop Century, actually) that isn't supposed to be themed to anything specific.
If you go in assuming it has to have an underlying theme, I can see why you'd go to "well obviously we are supposed to be shrunk down" because that's the only thing that really makes sense, but the land doesn't do a good job selling that. It shouldn't be "well it must be this because anything else would be nonsensical" -- it should be immediately apparent to essentially everyone. Again, the old Honey I Shrunk the Kids playground executed the concept almost perfectly, which makes TSL look even worse in comparison.
The whole land is a design failure, although the way they wasted such a massive plot of land on two attractions and a food kiosk is worse than any of the theming issues.