I visit California often for business, but I would never live there, but the people I know there have this strange attitude which goes something like this, "sure you could move your business to Texas or Oregon or wherever and maybe save on taxes and employee wages and housing and office space and state taxes, but the bottom line, you would be living in Texas or Oregon or some other crap hole."
Like I said, I don't live, not would I ever live in California, but I have talked with literally 8 wealthy business owners and every single one basically says the same thing. People move to California because of beaches and mountains and hot sexy people and all sorts of other reasons, but not because of lower taxes. Something to do with quality of life. I don't get it, let me just say one more time, I would never in a million life times move that that crap hole, but some clients would never think of leaving.