This would be an excellent idea! It’s not for all cases but this could be adopted where it makes sense 👏
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Mountainous terrain isn't required, but it's the situation in which cable cars make the most sense because "better" options that require relatively flat ground aren't available.
Remember, the big selling point of a cable car is that it's cheap, but it's also lower-capacity than more usual kinds of transit. It's more legit than some gimmicky 'gadgetbahn', but not by much.
If a normal LRT is possible then it is the gadgetbahn.
Yeah I shouldn't say a requirement, but it's certainly more likely to be considered in elevated terrain.