You drove the perfect line, the policy copied you, and on paper it's flawless. Yet when it drives itself, it wanders off. You only ever demonstrated the good line, a narrow tube. The first time the clone slips even slightly outside it, it's in a state you never showed it; it has no idea how to get back, so the error snowballs. That's distribution shift.
Now scale up: a policy trained in a clean sim has only ever seen sim states, perfect friction, no slip. The real world hands it states the sim never produced. Same mechanism: the sim is the demonstration, reality is off the line. The cures all do one thing, widen the tube: show recovery from mistakes (DAgger), or randomize the sim so 'normal' already includes reality's mess.
Clone the demo, then transfer sim → real.