I agree with your view.
My relative is a primary school teacher who graduated at YWGS decided not to apply for YWGS for her daughters. Due to the change of school banding, those government and subsidized schools changed the banding from 5 groups into 3 groups. YWGS faced the same difficulty to enroll some so called "band 1 students" However, the academic ability and level are worse than in our generation.
Those government and subsidized schools face the hit competition to attract the " excellent band 1 students". They may have many offers among subsidized schools and self subsidized schools. Finally, those excellent may choose self subsidized schools with richer resources to nurture their study path for 6 years.
Nowadays, the education sector likes a commerce business. The schools need to provide good quality educational service and resources in order to attract the parents and students to choose their preference.