IMO, the theories of the purely tangible (martial arts) and purely intangible (righteousness or the heart) are only part of the solution. I see the complete model as requiring both, maybe something like this:

Intent -> Training -> Result

Intent drives training, which produces results. The result is your actual martial arts level, which in this case can fluctuate depending on your mood and spirit.

The intent is your passion, your reason for learning martial arts. Is it to become the best martial artist (self-centered) or to do something good for society (purpose-driven)?

Of course, intent works in different granularity. For example, Zhang Wuji and Zhang Sanfeng use the intention "of the sword" to drive the execution of stances. If someone like Xiao Feng were transported to latter-day Gu Long universe, he might use the intention "of his compassion" to accomplish otherwise impossible tasks.

By the way, this could be one model of martial arts development, but it certainly wouldn't be the only model. There is more than one way to achieve a goal.

Please feel free to comment, criticize, or build on this model.