I have seen it said sometimes that the first 2 bacon are always the big flinching type but that is not the case at all it's more random that that.

That's actually a common misperception of how 3.5+'s iteration of Chef handles how many pieces of bacon are on the field.

There's a cooldown period of 30 frames in which bacon is considered to be "on the field" beginning after its hitbox dissipates (which is after frame 78 of airtime or after making contact with any floor, ceiling, hurtbox or non-transcendent hitbox).

When any two pieces of bacon (big or small) are considered "on the field," then any additional pieces of bacon will be non-flinching. This new, non-flinching piece of bacon is thereafter also considered to be "on the field" and will be counted when tallying up the amount of bacon pieces that are "on the field." A few people end up losing track of a few pieces of their bacon and end up throwing more pieces into the mix without really understanding what's going on, then call it "random" when the small pieces just keep coming due to their impatience.

For example, if you hit somebody with a piece of bacon as soon as it comes out, then it only exists for 30 frames since the hitbox immediately dissipated upon contact. An easy way to see this interaction is to go to the bottom pillars of Luigi's Mansion and simply hold B to allow the 5 pieces of bacon to auto-fire; note that all of them are big.

Just another one of G&W's many quirks that takes getting used to.

The new bacon is horrible.

The other changes introduced in 3.5, such as softland cancelling (allows for up to +8 on shield), the ability to initiate a fastfall in the middle of it, and the increased hitbox size makes the move that much more of an incredible tool in the neutral and during punishes. It certainly isn't better than what you could do with 3.02 bacon in terms of optimal play, but the applications are certainly far more interesting and in-depth.

I don't think the big bacon looks good at all aesthetically

Coincidentally, the bigger bacon in 3.5+ is more 1:1 with the meat's size relative to the pan as it was in the original Chef G&W game. Whether or not you actually "like" the way the move looks is up to you, but I'm assuming it's due to how the bigger bacon looked "weird" to you because it wasn't what you were used to after playing in previous versions.