Not really sure. They had the Chevy Volt, an EREV, back in 2010. They could have further developed that technology, but Mary Barra made an executive decision to go 100% EV's. Now they're playing catchup.
I see where you're coming from. I personally believe a smaller hatch/coupe based on CE1 would be an interesting idea. A smaller, very affordable, highly customizable mustang to appeal to younger people. It wouldn't be as fast as the V8 coupe slotting above it, but it would be a return of the mustang's roots, good looking, fun to drive, and virtually anyone who wanted one could afford it. Let the V8 take the idea of the full sized muscle car to new heights, and let this EV be the mustang of the people.
If CE1 is optimized for cost and already designed for 25-30k EVs, I see no reason why it wouldn't be sustainable.
If they tried they would need a 3rd shift at MAP plus more R&D, more stampings for more body styles and probably lower prices. And probably very little additional profit.
I do believe he did. And in retirement he has been getting all kinds of wild numbers out of it. If you google him on You Tube there is a lot of info on him