That seems crazy to me. Why should I have to move to start a business? If I can start a new bakery with no following and run the old out of business, then it seems like the industry was ripe for competition anyway.

I do think it is reasonable for the competes to include not stealing recipes or IP or other capital from the business. Contacts are harder to legislate but there is a difference between remembering your best contacts and contacting them via LinkedIn vs exporting a contact list from your company's Salesforce and using that.