Self-growth
Business & Career
Success
Communication
Healing
Relationships
Psychology
HappinessYou’ll learn
- How charisma can mask critical flaws
- Why rapid expansion risks stability
- What are the paths to financial collapse
- Lessons from a high-profile business failure
Table of contents
first KEY POINT
Never judge a book by its cover
Business is always a risky bet. It can go your way or completely wrong and cause you to wonder why you ever bothered. Yet, when a business grows at a stratospheric rate, causing huge interest and megabucks to come your way, you realize what all the fuss is about.WeWork was one of the world’s most valuable and biggest companies. Founded in 2008 by charismatic Adam Neumann, it was valued at a massive $47 billion at its peak. Yet, in September 2019, the company imploded. Around $40 billion disappeared in days, and its value tumbled at a rate rarely seen before or since.Waking up to the news that their “sure bet” had been wiped out, investors and employees lost out in the biggest possible way, yet Neumann somehow left with much of his riches intact. His reputation? That’s an entirely different story.It became evident that Neumann had a penchant for money, enjoying the high life and living it up at every available opportunity. But, as we’ve seen repeatedly, spending to excess rarely ends well.Adam Neumann recognized that millennials wanted to work in a space akin to home. They didn’t want boring, characterless office cubicles anymore. WeWork was the answer to that — renting out office spaces decorated in innovative ways, with facilities that rivaled some of the top hotels — and shot to fame very quickly after being established.
By 2019, WeWork was present in 425 locations worldwide and was instantly recognizable.
Yet, nobody realized how much money the company was losing, even its investors. This wasn’t due to poor business decisions or a faulty business model; it was almost entirely down to Adam Neumann’s penchant for high spending. He was living the dream with a personal net worth of around $10 billion, seven homes, and an army of staff that followed him everywhere.Where did it all go wrong?In this summary, you will learn the shocking back story behind WeWork’s success and subsequent failure. But perhaps the biggest lesson is that you should never judge a book by its cover; it might look successful, but what lurks underneath?
second KEY POINT
Every success story starts with a small idea
Adam Neumann would never be a man who would settle for less. Born to Israeli parents in April 1979, his parents divorced when he was just seven years old, and he relocated to the USA with his mother and sister. However, life wasn’t easy and struggles forced the family back to Israel.It quickly became evident that Neumann was bored with life in his hometown and dreamed of more significant aims. Having quit mandatory military service, he told his sister to pack her bags; they were moving to New York City.At just 27 years old, Adam Neumann had established a company selling baby clothes — Krawlers. He specialized in onesies and pants with built-in knee pads that helped babies crawl. At the time, he didn’t realize that his product had a limited shelf life — babies only crawl for a few months before they start to walk.
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first KEY POINT
WeWork recognized the shift in how people viewed their working lives
second KEY POINT
The first cracks began to show with questionable ethics
third KEY POINT
Never spend more money than you have coming in
fourth KEY POINT
The collapse of WeWork sent shockwaves around the world
fifth KEY POINT
Conclusion
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Frequently asked questions
What is The Cult of We: WeWork, Adam Neumann, and the Great Startup Delusion about?
The Cult of We, authored by Eliot Brown and Maureen Farrell, explores the rise and fall of WeWork, led by Adam Neumann. The book delves into the company's ambitious vision, its controversial business practices, and the lessons learned from the startup's dramatic collapse.
Is The Cult of We: WeWork, Adam Neumann, and the Great Startup Delusion worth reading?
Yes, The Cult of We offers valuable insights into startup culture and the pitfalls of entrepreneurial ambition, making it a must-read for business enthusiasts. Readers gain an understanding of how idealism can clash with reality, especially in the tech startup ecosystem.
What are the key takeaways from The Cult of We: WeWork, Adam Neumann, and the Great Startup Delusion?
Key takeaways include the importance of sustainable business practices and the impact of charismatic leadership on corporate culture. The book also highlights the dangers of unchecked ambition and the need for accountability in the startup world.
How many pages is The Cult of We: WeWork, Adam Neumann, and the Great Startup Delusion and when was it published?
The Cult of We spans 368 pages and was published on February 18, 2020. This comprehensive read examines not just WeWork’s journey, but also broader themes in startup culture.
How does The Cult of We: WeWork, Adam Neumann, and the Great Startup Delusion reflect on the startup ecosystem?
The book offers a critical lens on the startup ecosystem, demonstrating how cult-like loyalty to a vision can lead to unsustainable practices. By analyzing WeWork’s trajectory, it serves as a cautionary tale for investors and entrepreneurs alike.