I expanded that polynomial out. Ignoring the bit about Pascal's triangle, it's straightforward to see that the polynomial expands to:
s_n = n^{-n} (1 + (n-1)n + ... + (n-1)n^{n-1} + n^n)
If you don't believe it, try it for a few small values of n to see it. Now, if you do accept that, then what I said afterwards follows. That is, to a first approximation, we can drop everything but the last two terms in the polynomial, which gives e = 2 after we take the limit. If we keep instead the first three terms, we have
s_n \approx n^{-n} \left(\frac{1}{2}(n^2 -3n +2)n^{n-2} + (n-1)n^{n-1} + n^n\right)
Trying the same strategy, in that first term there is only one term with order n^n, so
s_n \approx n^{-n} (\frac{1}{2} n^n + n^n + n^n) = 2.5.
So the idea is that the more terms you keep, the closer you get to the actual value of e. I think this leads to the Taylor expansion for the exponential function directly, but I haven't worked it out.
By the way -- the "argument" using the natural logarithm is not much of an argument, because you're assuming the nature of e to prove the nature of e. It is circular to use the natural logarithm if you're trying to prove the formula for the base of that logarithm.