Amazon internal propagand emphasizes that Amazon is a startup. "It's day one!" is a phrase I heard way too many times. They have "door desks" -- which actually cost them more than regular off the shelf furniture would-- but they pretend like they're being frugal to perpetuate the perception that they're a startup. (When I found out about the door desks costs, I was sworn to secrecy, it is very important for morale.)

I think the result of this is that a lot of employees believe it.

I think people generally, want something to believe in.

If you give them something to believe in, and it seems plausible, and especially if its tied to their income, they'll believe it.

And they'll work harder for it.

It worked on me-- that's why I didn't just go back to sleep that night. That's why I stayed on for several months after that, until things became untenable for me. Hell, I was going to stay with the company, I had met the AWS team, had gotten an offer for a position there and was in the process of transferring, and only quit when that transfer was blocked!

In a way, "well run" could mean that you get a lot of work out of your employees, even if they are miserable. I think optimizing for employee happiness can help you, but it isn't necessarily the only way to have high productivity.