No they don't. They don't even need PvP at all for it to "make it out the door" and be successful. Let's not get carried away with the hyperbole.
PvP is clearly important/critical for your enjoyment of a game. It is most certainly not very important - if at all - for everyone.
Yoshi-P has already explained that such an all-out PvP system would be out of place in XIV because the setting, story and intended gameplay is based around cooperation and teamwork against a common foe, not "every player against each other".
For national pride/competition, the systems they're implementing will suit it just fine.