Dignity is deadly - Paul Graham

Kathy Sierra writing at Creating Passionate Users has another excellent posting about a talk by Paul Graham that she heard recently.

My head was already spinning by bullet point six, but the one simple thing that stuck in my head was "dignity is deadly." Specifically this thought (I'm paraphrasing):

When you evolve out of start-up mode and start worrying about
being professional and dignified, you only lose capabilities. You don't add anything... you only take away. Dignity is deadly.

Read the whole thing and let's talk about this. I think one needs to walk the fine line here.

There are start up behaviors, and there are corporate behaviors.

Or is there just an evolving business behavior?

What do you think?