I agree with you in general but there is another thing you're missing: the double taxation discourages investing in new businesses in the United States.

If a VC is looking at two very similar businesses selling internationally, with one seated in the US where their profits will be doubly taxed, and the other running in a different country where profits are not subject to this, then ceteris paribus, they should expect investment in the non-US company to be more profitable.