The article doesn't really support that claim. Yes, larger vehicles have higher margins, just as higher trim levels do. But it is also true that small vehicle sales are consistently poor. Of course manufacturers aren't very interested in a low-volume low-margin market segment, which led to the tragic death of cars like the Fit.
That's why the article you linked says things like:
> Long, a sustainable transportation researcher at Simon Fraser University, and Jonn Axsen, professor of sustainable transportation at SFU, undertook a study of 1,000 SUV drivers in the Vancouver area. The study revealed that drivers "see them as superior to cars," said Long.
People are happy and willing to pay more for larger cars. Manufacturers are delighted to oblige. Given the choice between a small car and a large car, the typical consumer chooses the larger car. The fact that a small number of consumers like me prefer Honda Fits is not enough to justify their continued production.