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One difference between all other and WeWork is that while others were involved in some kind of fraud. WeWork wasn't fraud just pure hubris of founders and inves
by blackoil 3y ago
One difference between all other and WeWork is that while others were involved in some kind of fraud. WeWork wasn't fraud just pure hubris of founders and investors. Fraud is somewhat common and motive/modus understandable, here it is very difficult to empathise the thought process of all involved.
- starchild3001 3y agoWeWork's business model had concerning parallels to the risks that led to the 2008 financial crisis. Banks then made risky bets chasing short-term profits while accumulating long-term vulnerabilities. Similarly, WeWork took on expensive, long-term lease obligations relying on an unstable revenue stream from membership fees. This mismatch amplified risk. Like pre-crisis banks, WeWork did not commit outright fraud but showed poor judgment. Its financial mismanagement echoed 2008's problems.