The man has a point. Capcom has been one of the biggest pushers of original Japanese games for a long time now: see Okami, Viewtiful Joe, Dead Rising, etc. They're not afraid to make games for other cultures: rather, they strive to make games that can be played by ANYONE, regardless of culture. Look at the aforementioned Viewtiful Joe: it's essentially a parody of action films/the Power Ranger gig, and anyone who's played it will tell you it does a superb job of it, regardless of where they've come from.
There's also the point to be made that Japan is sort of self-centric with regards to their culture. There's probably several reasons for this, but I believe one of the biggies was mentioned by Therumancer: the desire to not have their work messed with when it's ported overseas. In fact, most Americans feel the same way: try trodding over to the Anime Fans Group and asking them what they think of the cross-ocean censorship. You'll find that we all hate it, to the point where we refuse to buy anything that's been censored (ironic really, considering that the whole point of the censoring was to try and get more American buyers.)
Another reason for the self-centric idea is that Japanese devs might not think that Japanese games will sell well outside of Japan, regardless of their quality. There's a point to be made there: there are tons of Japanese games that have been excellent, yet when ported to the states were a total flop. See Earth Defense Force, Viewtiful Joe (which quickly sunk into cult hit status), etc. Of course, there's always the grand exception to the rule: No More Heroes, for instance, sold terrifically in the States, to the point where the creator actually recouped losses from the Japanese version, which was virtually ignored.