In theory it makes sense for Leicester City to do. Despite how a lot of the aspects at the club are, the Foxes still seem to possess a knack for developing players, even if they do go off and prove to be stellar elsewhere.
Particularly with PSR now, it seems like City were somewhat ahead of the trend. Sell a top player, reinvest into the club, and rinse and repeat each season.
That's fine when the underlying base is good and the club can afford (in a playing sense) to fill the void that is left by the talent that is no longer present. As should be evident by how the current season has unfolded, it is safe to assume that most City supporters will agree that their method has not worked.
In terms of keeping wage bills lower than they would have been and providing a little more cash flow, it obviously has functioned from that standpoint. That is, however, the best one can say about the selling approach from the club. It has been functional, and that too is being generous.
The reason being is that the Foxes have done well in terms of flipping a profit, but the most important aspect of running a club has been forgotten: matches need to at least be competitive in whichever league is being played in.
It is great to go with an Arsène Wenger approach in that regard, but the leftover product needs to be able to account for the players who then leave. While there have been individuals like Jeremy Monga who look like they still point to the ability of the academy's efforts, the overall fit as a whole has clearly not been good enough to field a good enough roster on the pitch.
Imagine, for example, how City would look with Youri Tielemans in the midfield or either James Maddison or Harvey Barnes going forward in the attack.
Where the Leicester City approach fell short
An argument can be made that those players had to be sold, particularly at the price tag that they ended up leaving the East Midlands for. In that case, where this approach failed is in being able to continuously ensure that either through an individual or a collective corps of those remaining, that City would still be able to match the output of those who left.
Now, LCFC is in a difficult position, needing to overcome many issues facing the club. The only glimmer of hope is that supporters can say that at least City are experienced in continuing without their best players, even if it has resulted in an embarrassing relegation.