If you think the car is too small, you should buy a bigger car. Remember there is a 5 series and 7 series for those who need huge cars. If the smallest car from BMW is also large, then they will miss out on a big market of people who want smallish cars, like me. I think the 1 series is already is a bit on the large side. I would like to see it narrower and lighter. I am 189 cm tall, and there is plenty of room for my elbows.
My wife is complaining about the car being too wide, making it more difficult to park than our previous cars. She would prefer a slightly smaller car next time.
If I had a choice between the Golf and a Polo, I would take the Polo. I also used to prefer the Compact version of the 3 series (E36 and E46) over the sedan/coupe.