If you are up or out as a manager, then any changes you didn't make right at the beginning of your tenure are going to unravel under the watch of your replacement. You not only don't have to reflect on them, but lots of people nominate someone else as the person who needs to fix it/take the blame. If there's a better recipe for willful ignorance, I don't know what it is, and I'm pretty sure I wouldn't want to.
Stating that a developer is worth 10 times what other developers are worth goes way beyond saying that some people are more valuable than others.
We're not talking about junior/medior/senior distinctions. We're talking about 10x. The myths. The lone gunman who is supposedly so good that is able to replace entire teams and still outproduce them.
Edit: I just noticed that you said the same yourself. Great minds...
Not having a backup solution is probably the single biggest shortcoming of the lone gunman in practice. The second is that the code is often not laid out or structured so that a team can work on it.
It's hard to tell if it's arrogance or reluctance to admit some people are more valuable than others and just allow them to get to a point they prefer to leave than stay.
Domain knowledge, institutional knowledge, whatever you wanna call it, takes time to acquire and these kinds of companies are equally reluctant/arrogant to spend enough to hire properly. That's not enough to kill them mind you, not right away anyway, so they are destined to be mediocre at best I suppose.