Does instant transportation effect game immersion?

[Jaber]

again...
then why not have insta-level button. No one forces you to use it, you can still grind for a month.
Why not have insta boss-kill. no one forces you to use it, you can still die 50 times tryin to take out that hard boss for good gear
Why even have an economy ? make a list and let players choose all the equipment they want

Show of hands, who here is wanting to play this game not to fight enemies nor build their character up nor explore nor do raids nor progress through the story, but to hold W for an hour and run around the market wards all day?

What we have here is a lack of understanding. More specifically, you lack an understanding of how games work.
Working together with your party to take down a strong enemy is fun. Idling on an airship for ten minutes is not.
Building up your character is fun. Spending a halfhour running through those hugeass straightaways Gridania is riddled with is not.

More to the point:
PURPOSELESS DELAYS ARE NOT A GAMEPLAY ELEMENT
They are not something you can base a successful game around
"Lots of pointless waiting before we let you do the thing you actually want to do!" is not something you can put on the back of the box