You're kind of hitting on my point. There's not much difference between CC and BB. Ice time is the same, cost is the same, number of games, tournaments, etc. BB is just a bit stronger in calibre. So some of the softer issues, like the reputation of the respective coaches, can come into play. Especially at higher levels where kids have experienced the same coaches who are constantly moving up with them.
I agree that kids should play where they belong. It's a simple yet powerful guideline. But some kids will start to challenge the notion that they have to always play at the highest level, especially if it means playing for someone they don't like or with whom they have had bad experiences in the past.
It won't surprise me to go into a tournament this year and see some very strong CC teams owing to the fact that they have some strong players who elected to play down a level.