I'd encourage the chord-challenged to keep at it. Chords are an automatic way to put your fingers on the most important notes at a given moment without having to think.
1) An arpeggio is ( usually ) just a chord where may not have put all the left hand fingers down at the same time.
2) When you play along with folk / country / bluegrass / etc., you can separate the right hand from the left. Instead of strum-i-t-y, strumity on every beat, you can play one chord per bar, for instance.
3) Also, when you join a jam and you don't have the chords down yet for a given song, strumming one chord per bar or once per chord change is an easy way to get the flavor of the the songs changes. If one of the chords is a mystery or a physical challenge, you can turn your back to the group or walk over to a corner of the room and (quietly) work it out.
4) I agree that a few easy, movable chord shapes will get you by. The barred A-2nd fret, barred D-2nd fret, barred E7-4th fret carried me for years. But a smallish set like that is a wall you will hit when you want to pass to the next level.
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