I think there can be no question but what many, at least, of the stories about bodhisattvas are there to provide role models for human beings. They play a role in the ever-present tension between what already is and what is yet to be. To the extent that we have even lifted a single finger to point to the truth, we are already bodhisattvas. But how much more so those who faithfully follow the Lotus Sutra, that is, devote their lives to bodhisattva practice. And to encourage us in that direction there are stories of wonderful bodhisattvas.
Yes, people do pray to Kwan-yin for help, and Kwan-yin takes on whatever form is needed to be helpful. But while that story may present the hope of divine blessing, it is there primarily to show us what we should be. If Kwan-yin has a thousand arms with a thousand different skills with which to help others, we too need to develop a thousand skills with which to help others.
A Buddhist Kaleidoscope; Gene Reeves, Appropriate Means as the Ethics of the Lotus Sutra, Page 386