If that behavior is the entire point, then I think the bigger point is that the spec should reflect that and not call it undefined.
The spelling for compiler authors getting to choose a behavior is "implementation defined", as the other comment mentions.
No. It most definitely does not mean this. Go read the series this is part of: https://blog.llvm.org/2011/05/what-every-c-programmer-should...
It is absolutely critical that people programming in C understand what real compilers in the real world do.