How do Internet businesses get around foreign registration?
nkurz: While I can't confirm your interpretation of this particular law, I'm certain that no internet businesses register themselves in every jurisdiction in which they potentially offer their goods for sale.  I'm uncertain whether this is a matter of interpretation or enforcement, but practically speaking I wouldn't worry about compliance here.  If you go searching for laws that you must obey, you will likely conclude that there is no possible way to run any business legally.