From someone who has both an iPad 2 (similar to mini) and a Nexus7, they are both excellent tablets.
Yes, android takes a bit of learning. Once you invest a little time in it, it opens up vast possibilities. Some of the claims, by the op, against the N7 are unfounded.
For one, screen rotation can be locked just as easy as on the iPad.
Definitely on the N7, the reading experience is better. The text is much crisper.
For me, on the N7, the default font is very readable; for others, it may not be. However, you can make it larger.
The mini's larger display is a bonus. But, with it's lower resolution, the advantages are lessened.
I'm not bashing the mini. In fact, I may sell my iPad 2 to get one. However, the N7 is a real good tablet and it's a solid competitor. At present, it is selling @ 1 million per month. With this, more developers will invest their time into more and better apps. The app gap will lessen.
Also, the sales indicate that price is a big factor. With it's low price, many ios fans are getting introduced to android. Their investment in the android ecosystem will grow.
From this competition, we, as consumers, will benefit. Apple's higher prices and higher margins may need to be lowered (well, I can hope). At least, Apple may include more, for the price.