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Though it'd be better still if they paid something. Microsoft offers special low-cost editions of their products for developing nations, don't they?

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No, they don't. I even remember that the prices for legal Microsoft software in one of those "developing nations" were higher than prices in the USA.

And it's not only Microsoft, some other companies (Audodesk, Adobe, Apple) also keep higher prices and worse quality in some of poor countries than in the USA. It's kinda like they try to punish people that want to buy their software legally.

For me, it's an easy decision, I just don't use their software at all, but some people have to use their software, and I totally understand why some of them decide to pirate it.

Wouldn't the issue be that if they sold Windows for say $10 in china that westerners could just import it for $10 + shipping and then install language packs once they had it?

There are usually region restricted DRM trying to stop this from happening. For example, a lot of digital distribution gaming companies (like Steam) have cheaper prices of games in Russia compared to US. So there are all kinds of websites that will sell a Russian key and Russian proxy service so that one can get game for cheap. OTOH, the distributors try to monitor and keep disabling accounts if they find that region restricted games are being played.

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