Not only that they have caps on how much developers can make, they are also heavily miss-managed, full of crazy managers with insane ideas, consulting companies with their own agendas, agile that is not even close to agile, etc.
You don't need to be in Silicon Valley to make decent website, you do have to manage it and develop it properly, most don't do that.
Right, it's not a failure of recruiting, it's a failure of management and environment: nobody wants to work at Target developing software no matter how much money they pay.
