No... it wouldn't work because having Jeff Bridges playing a Chinese guy would be downright stupid. Ra's Al Ghul was one thing, but there's no getting over an American Mandarin, of course they could come up with something like Stane gets possessed by the "spirit" of Mandarin but that would be completely atrocious.
I may be giving him too much credit since I haven't actually seen any of the film in action, but I doubt Jon would stand for this.
Either A.) He argued his case and DID end up getting the two villains he wants, which directors have to do ALL the time especially in Super Hero movies. Execs always ask thing like "Well does he HAVE to wear a costume" or "Iron MAN? How about we make it an Asian woman instead?" and the director has to fight just to get some of the most basic essential things about the character on screen
Or B.) he worked tirelessly to remove Mandarin from the script and rewrote it just with Iron Monger, and is saving the Mandarin parts for the next film.
Actually, I don't argue with you. I am agreed
It doesn't make sense to change Mandarin and turn him into Iron Monger.

I think it can work, if you omit telling the origin for every freakin character!! A movie with multiple villains would work if only the interesting characters origins were told and it is a major component of the story. I wish the writers would stop adhering to this tired, hackneyed format and just focus on brilliant story telling. Writing is an art not a tool to sell Burger King toys. [EDIT] But in Ironman's case, no. Its just blatant advertisement ****ring. Im really getting sick of Marvel and their stupid a$$ decisions, and the blind fans who will throw away money towards any peice of crap that shoots out of Marvel's butt!!...