It is relativly easy to set up x on e-smith 4, just run the redhat 6.2 upgrade, avoiding choosing things such as perl, apache etc. If you upgrade those your esmith won't work much anymore without getting the virtual screwdrivers out. You could also install mc, and then select all the x things in order, but this is a bit more work. What I have also been known to do is install linuxconf, then choose the rpm module, and select the x packages that way.
Again, once Esmith is being used correctly, then you would be better running a seperate computer with a normally installed linux system to play around with. I do that on a virtual machine (VMware) under w2k and it works great.
Installing the xservers is also useful if you want to use vnc.