I only shared my parent comment with the hope that some people might benefit from the lessons I've acquired quite painfully and over many years. It's not a diss at anyone's country or sense of pride.
From the governments' perspective, it makes perfect sense to do everything they can to turn their countries into the next Silicon Valley. Same with the VCs - there's a lot of money to be made with the local talent that for whatever reason chooses to work in a geo with less attractive valuations and less favorable terms for the same quality of work.
But from the entrepreneurs' perspective, it really does matter if your local VC can get away with shenanigans because they are a big fish in a small pond [0].
[0] In this context, small pond is not a measure of the size of the city or its population, but instead a measure of the opportunity cost. If a NY VC screws over a NY entrepreneur and that entrepreneur somehow gets a big enough megaphone to ruin that VC's reputation, the VC in question would simply just focus on one of the many other sectors of finance that exist in NY (eg: private equity, investment banking, etc). If the same thing happened in the SF Bay Area, that VC would have to relocate their family to a different city in order to have a hope of a career in something related to finance. I am exaggerating a little bit, but not much. That power dynamic is very evident in interactions with VCs in the SF Bay Area.
From the governments' perspective, it makes perfect sense to do everything they can to turn their countries into the next Silicon Valley. Same with the VCs - there's a lot of money to be made with the local talent that for whatever reason chooses to work in a geo with less attractive valuations and less favorable terms for the same quality of work.
But from the entrepreneurs' perspective, it really does matter if your local VC can get away with shenanigans because they are a big fish in a small pond [0].
[0] In this context, small pond is not a measure of the size of the city or its population, but instead a measure of the opportunity cost. If a NY VC screws over a NY entrepreneur and that entrepreneur somehow gets a big enough megaphone to ruin that VC's reputation, the VC in question would simply just focus on one of the many other sectors of finance that exist in NY (eg: private equity, investment banking, etc). If the same thing happened in the SF Bay Area, that VC would have to relocate their family to a different city in order to have a hope of a career in something related to finance. I am exaggerating a little bit, but not much. That power dynamic is very evident in interactions with VCs in the SF Bay Area.