Yes, distribution is the key.
Suppose that my company has powerful video editing software that we sell (which is distribution). Consider that it has unique functionality and has taken a decade to develop by a team of developers, all of whom have salaries, insurance, retirement, etc. that need to be paid, otherwise the software would not exist. Proprietary code and profit are more than appropriate in this situation, as I believe that workers should reap the reward of their labor and investment.
Now, suppose that a new feature is wanted. There is a project that provides that functionality, but it is licensed GPL. Can I use it?
Absolutely not!
Because, if I do, then I am obligated to release all of my source code in addition, because it integrates with the GPL code. It is financial suicide for my business to do so (which, btw, is a political preference for many of the GPL proponents). What will I do instead? I will probably just have my developer write our own version, adding in the extra features that we need.
Contrast that with the MIT-licensed code. We can use it without fear, and we will probably even submit enhancements back to the project, simply because it makes our lives easier in the future for maintenance.
GPL poisons downstream, simple as that.
You are correct that there is no obligation to submit a PR upstream, but there is a requirement for my source code to be made available under the same GPL license. GPL is "infectious" (or "viral", take your pick of words).
The funny thing is, I believe in freedom with software, but my interpretation of "free" is vastly different than the GPL interpretation of "free". And, as I said, I put my money where my mouth is... almost everything I write (except for my job) is MIT licensed code.