Maybe. But ultimately more people would be upset with *the very idea* of putting Pandora in DL than they would be with Star Wars, which might have stopped it from getting off the ground altogether.
Through Star Tours, Star Wars has been associated with DL for longer than I've been alive. Matched with Star Wars' enduring popularity (it'll be interesting to see how the latest trilogy will affect it over time), Star Wars makes more sense on paper than Avatar would. If they had put Pandora where GE is, people would have raised hell.
That said, now that they've seemingly botched the execution of GE, its possible that people could have been more satisfied with a straight Pandora clone there than what they actually built, but my perception is that any single-franchise land put in that spot would have upset people and not been good enough.
While Pandora is cool, I don't know that I believe people would react all that differently to it being in that spot than they are already reacting to GE. Both of Pandora's attractions are flawed, and I'm not convinced DLR regulars would respond any more favorably to that than what's there now. Most everyone who's been on both tends to rate ROTR above FOP. Ultimately, it would still flop in execution. Although it could potentially have been a cool visual if they could have found a way to tie in the Pandora rockwork as some kind of bridge that connects Splash Mountain, the Frontier, and Big Thunder Mountain together into an organic, western side of the park-spanning landscape.
Steampunk is actually a really cool design aesthetic when it's done well, a la DisneySea. Slathering Golden Manure paint all over everything is only steampunk when Paul Pressler is in charge of the pocketbook.