I don't think there is always a compromise. I let people know what I limit when I open an invitation, it's up to them to decide if the game is right for them.Definitely, I am all for compromise. But compromise goes both ways.
Compromise can’t be “I’ve created this world, play something else, deal with it!” Because that’s not a compromise.
An earlier post has a good example: tortles weren’t a good fit for the DM’s campaign, but a lake elf with tortle mechanics was. Or maybe tortles are a species of dragonborn descended from dragon turtles.
So I don't think it's necessary or would even be good for the game to compromise no matter what. If someone wanted to literally play Superman in my D&D game, I see no way to compromise on that. While that's an extreme example, I assume telling someone "no" is effectively universal so it really is just a matter of how far a DM and group are willing to bend. Superman is obviously an extreme, but what about 3PP material? Playing an extremely evil PC in a way that makes others at the table uncomfortable? We all have limits, a list of races is just one example.
But if your definition of compromise is "give the player what they want, no matter what it is, just change the fluff" then that's not compromise either. People can always ask to play something on my list and sometimes we'll figure something out. Sometimes the answer is "no".