I completely understand the formal mathematical distinction between the direct sum and the tensor product of two vector spaces. I also understand that the direct sum has a nice visual interpretation (especially the direction sum of two 1D vector spaces, or of a 2D and a 1D vector space), where you simply think of attaching the vector spaces together at their respective origins in orthogonal directions inside some higher-dimensional ambient Euclidean space. Question 1: Is there any such simple geometrical picture for the tensor product? (Unfortunately, the simplest nontrivial tensor product - that of two 2D vector spaces - is four-dimensional, so perhaps not.)
Now assume that the vector spaces $V$ and $W$ have (finite) dimensions $N_V$ and $N_W$ respectively. Then there is a natural map from $V \oplus W$ to $V \otimes W$, where we map $(v \oplus w) \in (V \oplus W)$ to $(v \otimes w) \in (V \otimes W)$. The image of this map is a $(N_V + N_W - 1)$-dimensional set $M \subset (V \otimes W)$. (The "$-1$" is because this map is not one-to-one: the preimage of $v \otimes w \neq 0$ is the one-dimensional manifold $$\{ c v \oplus (1/c) w\ |\ c \in (\mathbb{F} \setminus \{0\}) \}.$$ ) Note that $M$ is not closed under vector addition, so it does not form a subspace of $V \otimes W$ (indeed, this fact is exactly the reason why the direct sum and the tensor product of vector spaces are different!). In terms of visual intuition, the fact that the manifold $M$ contains the origin but is not a vector space means that it is "curved" rather than "flat".
For example, if $V = \mathbb{R}^3$ and $W = \mathbb{R}^2$, and we choose bases for $V$ and $W$ in which $(v \in V) \to (v_1, v_2, v_3)$ and $(w \in W) \to (w_1, w_2)$, then we have that $$(v_1, v_2, v_3, w_1, w_2) \in V \oplus W$$ is naturally identified with $$(v_1 w_1, v_1 w_2, v_2 w_1, v_2 w_2, v_3 w_1, v_3 w_2) \in V \otimes W,$$ and that the expression on the LHS parameterizes the four-dimensional smooth manifold $M \subset \mathbb{R}^6$. Question 2: If there is a way to visualize the tensor product of vector spaces, is there an intuitive way to see within that visualization why the natural embedding of $V \oplus W$ into $V \otimes W$ is "curved"?