I found this interview pretty thought provoking. I think it is still pro-Israel, but it provides a view of Hamas's strategy that I haven't seen anywhere else.
Basically, what I think Hamas leadership was thinking was to mirror the Hezbollah-Israel conflict from, what, 10 years ago, on a much bigger scale. According to this CIA officer, Hamas had 30,000 soldiers ready to engage in fighting with Israel in an urban environment, and the initial terror attack was trying to sucker the Israelis into rushing in and suffering huge casualties. Not 30,000 soldiers in uniforms and formations to your point, but nonetheless a large force. (This part starts at about 7:30 into the video).
According to the intel officer in the interview, Israel did NOT rush in, and is engaging in effective counterattacks per the Intelligence officer. I understand everyone thinks the press is owned by Israel, but in the failed conflict with Hezbollah in Lebanon there was plenty of stories about the Israeli army failing.
I have not heard those stories. Just desperate stories from the Palestinian side, which tells me the Israelis are being quite effective.
Hamas is embedded with civilians by default: the Gaza strip is stuffed full of people, it has very high population density due to the insane 8 children-per-woman population expansion of the Palestinians over the last 60-70 years.