"They want rockstars, but they themselves are not that." Yes, that problem. Zappos is a shoe store. Uber is a taxi company.
I wonder if hiring big teams is a status/ego thing. I’ve never been in that position, but I couldn’t imagine myself deciding that I need an Uber-scale development team to build a service like Uber. Just seems wasteful and like it’d be a nightmare to manage.
In a few cases, yes, definitely. Soylent was an extreme example. They went on and on about their overcomplicated "tech stack", at a time when, from their sales volume, they were processing a few sales transactions per minute. All they needed was a basic shopping cart program. They're still around, now classified as a "food products" company, selling wholesale, and considered an overpriced Slim-Fast.