Its a limit on the utility of term limits where the term limited officer is unlikely to seek another elective office when termed out, but that concern does not apply to most holders of term-limited positions (it does apply to the US President, which tends to be someone's last elected position, but state legislators, for instance, often seek other, usually higher, offices with constituencies overlapping those of their prior office when termed-out, and so the concern doesn't really apply to them.)
Actually, it does apply because there are vastly fewer higher positions than lower ones. Most politicians who term-out go into private industry, and they know it.
Its a limit on the utility of term limits where the term limited officer is unlikely to seek another elective office when termed out, but that concern does not apply to most holders of term-limited positions (it does apply to the US President, which tends to be someone's last elected position, but state legislators, for instance, often seek other, usually higher, offices with constituencies overlapping those of their prior office when termed-out, and so the concern doesn't really apply to them.)