HoI does this but with generals rather than division, doesn't it?
Thats why I think something like this would be easy to include.
Consider that unlike Hearts of Iron, you are not going to be using the same generals throughout the game. Thus it would be simple (and make a bit of sense) to transfer over the history of battles from generals to divisions.
However, I don't think that a glorious history should provide bonuses to a unit. That should be handled by the units experience ala Hearts of Iron. Of course, because of the increased timeline of Vicky2 versus HOI, experience should also decrease over time at a fairly quick rate.
Just because the "3rd (Royal) Dragoons of the Flying Scarlet Rose" fought a number of important battles in the Crimean War doesn't mean that its soldiers are going to fight better during World War 1, more than a half-century later. No matter how decorated it was.