HUGE difference between full size truck buyers where performance makes a difference in towing/payload and family crossovers.   There are no “slow” or really unreliable engines today and they all get good mpg.  A small percentage have a preference for natural aspiration or more power but 90% just don’t care.  The one exception are hybrids that get significantly better mpg.   I have a 3.5eb F150, a 2.0eb Nautilus and a 2.5 turbo Boxster and they all average between 19 and 24 mpg and all should last 200k miles or more.     When Nautilus dropped the 2.7 v6 in favor of a hybrid 2.0eb sales didn’t drop they went up.   When Porsche switched from NA to turbos on the 718 cayman and boxster sales went up not down.     The point is standard ICE engines in most regular passenger vehicles are now ubiquitous.  Still matters somewhat for sports cars and trucks and a few high end luxury vehicles.    

Don't worry the next new quality guy will fix this. Where have I heard this before? 

Agree longer term, but for very short term, added cost of EREV is difficult to justify with fuel savings, so I expect many entry-level vehicle buyers who have to be cost conscious will continue to purchase regular ICE, or maybe step up to a hybrid.  It’s really hard to say what will happen with “affordable” EVs long-term if CAFE changes essentially give manufacturers a green light to sell whatever they want.  Next couple of years will be interesting to follow.

Funny that you think no one cares yet you say engines are rattling and buzzy, confirming you do care.  In a negative way but you care nonetheless.  I understand you’re all about designs and wish powertrains didn’t matter at all, but wishing doesn’t make it so.  Some buyers do care about engines, whether justified or not, as proven recently by huge backlash against RAM for dropping Hemi.  One could argue if these guys were idiots or not, but fact remains sales were adversely affected by lack of available powertrain choices.  The newest shock to the system is relaxing CAFE penalties, so we may see if any manufacturer tries to capitalize by altering engine choices for some models.

They should be okay. Luxury vehicle buyers can probably eat the cost more than mainstream buyers. GM could also get a bit more aggressive with sales incentives if needed. 

I think EREVS are the way to go, for all the reasons you have stated. But a significant portion of entry level buyers are living in apartments or other multi family housing, which in most cases currently can't or don't support 240V for even a handful of onsite chargers.

What did sales guy have to say?

FWIW, here’s the NHTSA report on the recall. It looks like a supplier used a sub-contractor who wasn’t up to the task. RCLRPT-25V455-7716.pdf

I wonder how this will translate into long term sales...they could be new customers say from Tesla, which hasn't had much new in the marketplace, so people are willing to try new things.   The overall feel for EVs is that it seems like overall in the industry that demand is softening for them, but I don't have the numbers for that but I'm sure we'll have a better picture once the tax rebates go away. 

I don't believe Fords backing down on making compelling entry level vehicles, I believe they're diverting those funds to CE1 products. EV technology is the future of affordable transportation, especially good affordable transportation.    EVs are more reliable, more refined, more enjoyable to drive, more comfortable, have better packaging, and look better. For people who just want an affordable, reliable, easy to own, nice enough, good looking enough vehicle, EVs are gonna be the path forward with Ford's 25-30k EVs.    You put a rattling, buzzy 4 or 3 cyl crossover in front of someone that looks like a potato, and a cool looking crossover where people drive it and can't stop thinking about how refined it is, and tell people they're the same price, basically any sane person is gonna buy the EV.    Keep the V8 engines around for the mustang and other stuff, where that's what people really want, and offer EVs for everyone else who just wants an affordable, reliable vehicle. EVs don't make sense for everyone, but they're the perfect solution for entry level buyers.