Final answer:
The Dashwoods esteem Edward Ferrars for his intelligence and kindness, as well as his open and affectionate heart, despite his initial shyness and lack of overt handsomeness.
Step-by-step explanation:
The Dashwoods think well of Edward Ferrars not because of his potential to make a fine figure in the world or his reserved nature, but because of his intelligence and kind-heartedness. Despite not being handsome and having a shy demeanor that does not appeal to everyone, once acquainted, Edward's behavior reveals an open, affectionate heart. Further, his good understanding and education have cultivated these qualities, making him esteemed in the eyes of the Dashwoods.