GMAT Sentence Correction (SC) | Re: California has been a natural choice of most consulting companies

The quick answer is that GMAT seems to think that "being" can't ever be used as a modifier. Sure, you could use a different -ing word (otherwise known as a participle) to modify California -- it's just that you can't use "being" for that purpose on the GMAT.

Correct: Rivaling Colorado as one of America's most beautiful states, California is home to dozens of national and state parks.
Incorrect: Being one of America's most beautiful states, California is home to dozens of national