depends on the color for me.
if i were blending a panel, i :
-prep area for bc with 320/600 and red scotch bright the edges.
-prep areas to blend w/ 800 and a grey scotch bright on the edges.
(you can use 600 DA on your blend area, but you run a greater risk of going thru the clear and having to bc that area)
-spray bc just were i need it to. i generally step my color out. covering just the area thats been repaired in the first spray, going a little further on the next and them the same for the next spray. then just clear the whole panel.
-now, some colors have a problem with looking blotchy. it will look sort of cloudy, dark in spots. hard to explain w/out having something to show. PPG has a color blender. all it is is a clear basecoat. you reduce it and spray the panel that you will blend with one coat. what this does is gives the metallic something to bed in and lay down into instead of just hitting the sanded clear that is already on the panel. but this is only on metallics.
what will happen is the metallics that are all over the place will throw sunlight all over the place. this is how it was explained to me.
i usually only use it on certain colors. silvers, light greens, etc. the "reducer" you mentioned sounds like the same thing tho. if i want to step out a color, i will spray two coats of the color, blending it out. then i will take what i have left in my gun, color, and mix that with the same amount of the color blender( 5 ounces of color, 5 ounces of blender). then i will spray that, stepping it out again. then mix whats left of the 50/50 and mix it with the same amount of blender again. stepping it out. you do this until the bc is getting transparent. its fading really. your just fading it so that if there is a difference in color, the eye cant catch it, unless its really bad.
burning in is for clearing only part of a panel. you prep the area you intend to spot you clear at and when you spray the clear, you use a burn in agent to melt the new clear into the old clear. some people use a hot reducer. i never recommend this. i just dont want to have to warranty it. there may be some ppl that can do it so that they never have an issue. but i was always taught it wasnt something you wanted to do on a good job. you usually get a halo where you do it.