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In addition to the advantages others listed, I think a big advantage of a large corporation is risk management. If you're a "small" company managing a handful o
by scott_s 7y ago
In addition to the advantages others listed, I think a big advantage of a large corporation is risk management. If you're a "small" company managing a handful of buildings, and something catastrophic happens to one of those buildings, that could threaten the company's existence. More so if those handful of buildings are in the same city, and all suffer from the same event (flood, hurricane, earthquake, etc.). A large company managing hundreds of buildings spread across the entire country would more likely be able to handle a one-building catastrophe.
- jakoblorz 7y agoBut that doesn’t prevent small companies to just take the risk. And by doing so, they are as efficient as WeWork and compete on the same level. What counts is the product and that is the same from the small and big company.
- fuzz4lyfe 7y agoIn fact small firms may be more efficient. If they make a bad bet on some real estate they fold while WeWork has to spread that cost to all of its users and keep on moving.
- rurp 7y agoI agree with your general point, but in the specific case of WeWork the benefit has to be tempered to a large degree by the fact that they are losing obscene amounts of money. They are definitely not running as a sustainable business right now and, while they might make it work long term, but I doubt many people will be shocked if WeWork doesn't exist in 5 years.