Comment by crazygringo

That philosophy will often fail if you need to handle payments or advertising or sale, etc. once you reach a certain scale.

Because consumers and advertising partners want to pay in the local currency, using local means of payment, which are often only available with a business bank account available only to locally registered businesses.

And then things like salespeople on the ground who can visit advertisers' offices, go to conventions, etc.

If you want to actually be a viable business in a particular country at a large scale, it often becomes impossible to avoid having to incorporate there and hire people locally, even if your actual product is entirely digital.