[David70]

Building a smaller rwd 3 series has many of the complaints like the smaller back seat but the cost to manufacture it are virtually the same. Then as said before people compare it to the others in the segment and complain about the size. I don't think there is much of a market for a smaller 3 series at roughly the same price. Hyundai/Kia are trying for a less expensive 3 series but I think they will suffer with the brand issue and possibly the handling being mediocre.

I have had an ATS for I think 5 years (purchased used) and in many ways it was never as good as the 3 series and every review complains about the rear seat (no one riding with me as normally short rides and they are welcome to drive themselves) but combination of initial cost, expected long term costs (150k mile GM or 150k mile BMW?) and great handling sold me. I think most prefer a bigger car and virtually no one wants a manual so difficult for a manufacturer to justify.