He would and sometimes does make for a good jobber for smaller guys. He is slow and useless but he is also a giant and a little guy chopping down a slow useless giant can be amusing and exciting. Sadly they more often make him squash the little guys.
Unlike, it seems, everybody on this forum I actually like Khali but he so desperately needs to be a heel. Seeing him taken out by a chop block is just embarassing- what happened to the days when Undertaker couldn't even make him flinch with a punch?