I'm not sure what you meant by this line? The issue with the mainstream manufacturers is not one of being able to fund the development cost, or in believing there is a market for it. It's in delivering a commercial viable short, medi...
Exactly. The aim still is to - now after the BMW i sub-brand has been established - generate same profit margins in the long run as in the case of every BMW vehicle. The business plan is set to be very sustainable. And that's what almost every legacy carmaker is doing. They are NOT start-ups. They have to provide business plans that work, are profitable & are sustainable. Tesla is a different animal.
Also, not every market is the same. Some are very BEV & PHEV savvy , some still aren't. And won't be for decades. For various reasons. Therefore for legacy carmakers - especially bigger ones, with strong global presence - it's essential to provide proper product mix to cater ALL their markets.
Legacy carmakers will soon provide 48V mild-hybrid systems in every model. A wide range of PHEV models, and plenty of BEVs. Eg. in 2025 - that's one vehicle generation or life-cycle away - the situation regarding vehicle electrification will be completely different & much more ripe. In the meantime the electric grids will be updated; a lot more public charging stations will be available etc. It's a process. In the mean time early runners like Tesla, Renault, Nissan etc will have some advantage. Also mind BMW has also been an early runner: BMW i3 is there. And it's selling well - for what it is. Again: Tesla is a different animal, running under different circumstances. Legacy carmakers can't afford over-night system disruption. The transition has to be carefully planned & financially & business wise sustainable! They are not in a position to burn money like Tesla does. Stable performance is key for the legacy carmakers.
Vehicle electrification race is a marathon, not a sprint. Being first at start does not mean you'll last to the finish (and finish first). But it's important to be there. BMW i3 is already there - new 120mAh battery is coming next year. MINI E is coming. iX3 in 2020. i4 and i6 (?; iNext) in 2021 - and then additional 7 BEV models from BMW Group by 2025 - and even more later.
In the meantime Tesla will have an advantage - mass producing BEVs; having it's own & established charging station grd etc. But be sure others will catch up. Perhaps Tesla will stay a leader for decades but there will be room for all. Just like it is in the case of ICEVs - there are a lot of luxury, premium and economy & even budget brands & products out there and they all have their own pool of customers. It will be the same with BEVs - even if Tesla will remain the tech leader, offering the best products.