[Richard Crowley]

"ansermetniac" wrote...
1) Why don't they work

Because they have lower contrast than CD-R or moulded CD discs.
But CDRs cost only a few cents each, so why bother with CDRW?

2) How much more would the unit cost to make if it did

Probably a few dollars (at design time).
Hundreds of dollars by the time it gets to the end-user (you).

How much more would my KIA CD player cost to make if it
advanced and reversed within a track.

Much more than just replacing it with a unit that has the features
you want.