Of course I have the small X-M1 subjected to extensive testing. But I can not test with the kit lens 16-50, because I did not buy because I already own the 18-55. Lenses with which I in particular the X-M1 and the image quality was compared in any doubt raised X-E1, the Fuji 27mm Pancake, the Fuji 35mm, 1.4, the Fuji 18-55 and the Zeiss Touit were 12mm.
As for picture quality is the X-M1, I could not believe, equal to the X-E1 hardly even. Sharpness, color, contrast at the highest level. Possibly the colors in the X-M1 a bit represented strong, but this is barely noticeable and gave me some even like it better. The speed of the autofocus was also comparable.
The 27er Pancake camera weighs with a sun visor (which I bought separately), the screen protectors (of GGS, Panasonic GF1 fits like a glove!) A hand loop, the handle (which makes the camera only really handy) 565g. By 18-55er it weighs 695g. A Nikon D4 weighs with comparable 24-70 just under 2.5 kg, one D 7100 with the 24-70 round 2 kg. Surprisingly, I have compared the recordings of X-M1 with the D4. At low ISO, the results are comparable, from 800 ISO the D4 has little advantage to ISO 6400. Next, it was not at the X-M1.
Therefore I do not understand how you can compare a D7100 with an X-M1. The D7100 with the corresponding lens is 3x as difficult and as expensive and felt 4x as large. I've learned that if you want to photograph people with the cute, little nostalgic X-M1 and the pancake, this is like to be photographed, but when I with a huge SLR, we of D4, was advancing, this reluctant or scared to react.
Each camera for its purpose. Anyone looking for a little small system camera with excellent image quality will be well served with the X-M1. The camera is fun, has many settings, the fold-out viewfinder (another reason to buy) is suitable for many purposes (which I can not do with the other Fuji and Nikon) and feels, possibly with value and stable also due to the handle.
Due to the light sensitivity of the X-M1 I need hardly flash, lighten at most shade that goes well with the built-in flash. If I have to correct flashes, I can on the available flash shoe (which has little camera that already?) Schedule a proper external flash.
What I like about the other Fuji and what the X-M1 has not (somewhere the lower rate must come from somewhere) are the lack of cable release option and the spirit level. No viewfinder was possible with the size, is clear, but I miss him sometimes. Also I would have wished that the shutter sound fails so silently as the X100S, but the trigger is about (so quiet), we at the X-E1.
Based on the excellent image quality, very good quality, the size, weight and of course the price, this camera deserves at least 5 stars.