Today’s capitalist climate has been on the receiving end of major criticisms due to CEOs of huge enterprises unethical practices.
WeWork’s CEO Adam Neumann may be a prime example of such. Ahead of the company’s initial public offering, WeWork’s prospectus revealed conflicts of interest that have not sat well with investors. This includes Neumann leasing his own buildings back to the company, as well as personally reserving the trademark for “We” through an entity he owns, then selling the rights to the company for $5.9 million in stock.
In its amended S-1 filing, the company announced it was unwinding this, but it is hard to tell whether this was to be more ethical or as a result of public scrutiny. Likely, it is the latter.
It is Neumann’s actions that have led to much of WeWork’s criticism. While the company has yet to be tested during a recession, its CEO has already proven himself to be questionable at best.