It seems like the Cavaliers have only made the wrong moves since LeBron James joined the team before the 03-04 season. Here's a quick but effective comparison of the rosters.
Point Guard
Small Forward
Slight Advantage: Now, mostly because Pavlovic could still improve.
Power Forward
HUGE Advantage: Then. Not really the Cavs fault, but Boozer getting away looks worse and worse every day.
Center
Advantage: Wash. Same strange looking Euro.
The Bench
Tiny Advantage: Now. I like Boobie, Varejao is decent, but both teams aren't exactly this year's Pistons or the 2000 Kings.
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Entering LeBron's fifth season, the Cavs have made essentially 4 changes to their roster:
Lost Carlos Boozer. Once again, this wasn't their fault, but it happened and the Cavs are worse for it.
Signed Larry Hughes. Larry Hughes is my Eastern Conference
Damien Wilkins. He's a thief.
Traded Tony Battie for Drew Gooden and
Anderson Varejao. Two solid big men for Tony Battie is a steal of Larry Hughes stealing money from the Cavs proportions.
Drafted Boobs Gibson. After busting on Dajuan Wagner, Luke Jackson, Dasagana Diop, and Chris Mihm (all top 10 picks in the 2000s) the Cavs finally did something right in the draft.
These kinds of moves aren't the sort of thing that will keep the premier marketing force in the NBA in Ohio. However, the Ilgauskas and Hughes contracts have hand-cuffed the team to the point that they can't do anything besides these little moves. Yes, they did make it to the Finals last year, but that was a clear case of LeBron's dominance and not front-office acumen.
According to Hoopshype, the Cavs are going to be coming in to some serious cap space prior to the 2009 season, when LeBron will be 25 and in the prime of his career. That season will also be the last season prior to James' option year. If the Cavs don't make some serious upgrades that summer, look for LeBron to bolt. Consider this a warning.