So you're claiming it's not a flaw or hindrance, ever, for any reasonable player?
How is that different from claiming it's a superior way of playing?
Because I'm not talking about "way of playing," but perception which, of course, leads to different ways of playing. I don't think there are better or worse ways to play the game, and to some extent the same is true of perception, although different ways of seeing yield different results. I would say that embracing and enjoying limited thematic elements is "superior" in that it leads to fun, whereas not enjoying because one only sees limitation is not, well, fun.
It is kind of like when a child finds a toy and they say, "but it doesn't do what I want it to do - this feels so limited." The child has one of three choices: 1) They can continue to focus on how it doesn't suit their needs, and be miserable; 2) they can play with another toy that better suits their needs; 3) they can enjoy the toy for what it is, and in so doing maybe find enjoyment within the "limitation." I suppose there's also, 4) they can be creative with the toy and get it to suit their needs.
Individual DMs can and often do adjust nonhuman races to better suit their needs - that is a major aspect of the fun of DMing: worldbuilding and its various aspects. Even so, they are still usually riffing off the same basic elf or dwarf archetype.
So my contention is that the fun of playing a nonhuman race is directly linked to its thematic limitations. This doesn't mean there's no wiggle room, whether through the DM's worldbuilding and players can (and usually do, to some extent) play nonhumans as if they were humans of a different culture. Nothing wrong with any of that. But at some point, if we make elves and dwarves too human-like, they lose their distinct character, and their distinctiveness and thematic limitations are entwined.
Or another analogy: Playing a human is like a painter drawing from a full palette of colors. They still have to make choices (e.g. desert nomad, temperate forest-dweller, etc), but every color is available. Playin an elf is like painting with only pastel tones, and playing a dwarf is like painting with only earthen natural tones (or whatever "tones" are specific to the races of a specific setting). An artist embraces that limitation and sees it as a feature to be explored.