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Keybladewielder said:

That's nice for Japan since they seem to like to play only on handhelds. Personally I woud never buy a Switch without the dock because that defeats the purpose of the whole concept of the Switch.

The purpose of the Switch is selling Nintendo games and third party Switch games to as much people as possible and get them into the Switch ecosystem. This includes people who like to play on the go and on TV (group A), but also people who prefer handheld gaming (group B) and people who prefer home console gaming on a TV (group C).

The first Switch model caters mainly to group A, but a part of group B and C will also buy it, even if they are paying for features the don't want/need.

To expand the audience to other parts of group B + C it only makes sense when Nintendo adds different form factors later, which can be produced and offered cheaper without hurting their margin.