Wow man you wrote a lot! Good stuff (what I read anyway) however I think your logic is flawed, which is why I didn't read it all.

Question. Why would quan enter the tournament? He is not of earth so he wouldn't be able to compete. And how would scorpion beat him? Quan is stronger than scorp, especially in this era.

Older Sub IMO could defeat shang, given the right motivation (enter raiden) but that isn't up for debate.