Brian, some thoughts on your topic!
Manufactuers build to make a profit, hence employing folks...Europe most cetaintly is a different market
than the states, different roads, with narrower widths...
That said many manufactuers look to the states for the lion
share of their cars to be imported then sold. Manufactuers
like Fiat...did not do well in the states because of size,
reliabilty,dealer network...although Chrysler sure needs them to sell well in the near future...
Without the states, some(not all) manufactuers might struggle
with the bottom line, so the states do dictate to some extent what some manufactuers build...Porsche might be an example
here as I think the Panamera was built first for the US market, not neccessarily the European market because of size and width.
I agree cars are to big, to much weight...width for manufactuers
with performance in mind becomes an entirely different criteria,
as width can be the deciding factor in whether a car handles well or not.
My guess would be if China becomes a major import partner for auto manufactuers small cars from a design standpoint
benefit and manufactuers will build more if they can help the balance sheet... In yesterdays manufacturing world small cars
were not money makers...but in a new retooled manufacturing world, who knows startups like Telsa, Fisker...could thrive although a
point to make is these startups today are driven by what propels them, not their size!