It'll be their loss I guess.About 1% of all wrestling audiences know they were ever a team, the remaining 99% probably include people like Vince McMahon. It happened, it's over, no one really cares, move on.
Released for being average? Yeah, in a company where Curtis Axel is with Paul Heyman AND holding the Intercontinental title. Kassius Ohno has been a lot better in FCW and NXT than Axel ever was, and all I've heard is that they like Ohno's work in the ring and on the mic. The only thing that could've ruined his chances was the so-called "attitude problem", but it looks like he's turned that around based on the recent match with Luke Harper. Also, there are other ways to form a tag team aside from the ones you criticized in your post.Using indy storylines as the basis for WWE storylines especially as a feuding point rarely pans out well. If they are feuding in 10 years and briefly mention it in one promo that's one thing, but to base an entire feud around something 1% of the fans know about it something entirely different. Aside from the fact Cesaro isn't in a great position of prominence on the card; Hero debuting on Raw and attacking Cesaro for no reason wouldn't really garner him any sort of pop or anything as he's completely unknown.
Then you'd have Hero come out and explain himself to a chorus of confusion as nobody really cares *that* much about Cesaro to hate anybody who gives him what for etc. There's a good reason they don't debut people like that. It works for a returning or a unlikely babyface challenge (someone who already has an established fan base) but it just flat out doesn't work for a debut.
That's aside from the fact I think Hero will get released within 6-12 months anyway. He's been decidedly average at BEST since coming to WWE.