Some European nations were also successful when ruled by higher powers, see the colonial empires of Britain, France, Spain, Portugal, etc. but so many wanna-be world powers occupying a small space led to constant conflicts, limited freedoms, bloody regime changes, and the famous self-immolations of WW1 and WW2 which finally introduced modern democracy to Europe and a end(on paper) to their focus on world domination.
My point is, it can be easy to become economically successful like China when you're a large country with massive human capital and don't give a fuck about democracy, slavery, human abuse and welfare, regulations, etc. and prioritize money at all cost. It's how most empires became empires.