Didn't OS/2 run Win16 apps better than Windows, by virtualizing them essentially?
It depends how you mean "better". They could be run in their own copy of a Windows environment which meant one falling over couldn't kill the rest, and they all integrated with the same global clipboard and such so copy+paste and DDE still worked between them, but IIRC there was a massive memory overhead for this which made it impractical for smaller machines.
Same thing I thought about! Strategically it was a terrible decision. Why build a native OS/2 app when a win app will run on both.