Furthermore the industry attracts the sort of people who are never satisfied with what they got, and are always looking for more.
Not that I'm advocating for non-competes, just saying that you can't address the concerns non-competes are attempting to address by "paying employees well".
There's definitely an argument here that those companies deserve to be out-competed then.
I'm not saying to ban any of these practices, but the legal system doesn't have to guarantee the feasibility of companies.