The rise and fall of WeWork and its founder, Adam Neumann, is a story that’s like a modern-day lesson. Neumann’s big personality and huge dreams made the company successful, but it all came crashing down in a big way. WeWork’s idea of offering flexible workspaces wasn’t totally new, but it became popular after the financial crisis when there were lots of empty commercial spaces and technology made it easier to work from anywhere.
Neumann’s strong leadership and different way of doing things, like giving out free beer and creating a work environment that mixed work and personal life, attracted a young and energetic workforce. With a lot of money from important supporters, WeWork quickly grew around the world, but it was losing a lot of money, and people started to question if it was really worth as much as a tech company. When WeWork tried to become a public company in 2019, it showed that there were bigger money problems, and its value dropped a lot, leading to Neumann stepping down as CEO.
Even though WeWork failed, Neumann was able to separate his personal money from the company and leave with a lot of money. He has since moved on to invest in other things and got support from a big venture capital firm. The story of WeWork and Neumann is a warning about the dangers of wanting too much and valuing a company too highly based on what it could do instead of its real financial worth.
WeWork’s quick success and failure show the risks of trying to grow too fast and depending too much on investors being excited. The story of the company reminds us how important it is to manage money carefully and really understand how much a business is worth, instead of getting caught up in the excitement of growing quickly and being worth a lot. Neumann’s journey is a lesson for both business owners and investors, showing that it’s important to have a balanced approach to growing a business and making sure it can stay financially healthy.
Original news source: How WeWork’s founder flew too close to the Sun (BBC)
Listen
Slow
Normal
Fast
Group or Classroom Activities
Warm-up Activities:
– News Summary
Instructions: Students are given five minutes to read the article and then work in pairs to summarize the key points. They must present their summary to the class in under two minutes, focusing on the rise and fall of WeWork and Adam Neumann’s role in the company.
– Opinion Poll
Instructions: Create a list of statements about the WeWork story, such as “Rapid growth is more important than profitability for a startup” or “A charismatic leader is essential for a company’s success.” Students walk around the room and poll their classmates to see if they agree or disagree with each statement, tallying up the results. Afterward, discuss as a class the prevailing opinions and how they relate to the article.
– Word Association
Instructions: Write key terms from the article on the board, such as “flexible workspaces,” “public company,” “financial crisis,” and “venture capital.” Students must then say or write the first word that comes to their mind associated with each term. Discuss why they made those associations and how they relate to the article.
– Sketch It
Instructions: In groups, students draw a simple comic strip or series of sketches that illustrate the narrative of WeWork’s rise and fall. They should include key moments such as WeWork’s initial popularity, the failed public offering, and Neumann’s departure. Share the sketches with the class and discuss how they capture the events and lessons from the article.
– Future Predictions
Instructions: After discussing the article, ask students to write down their predictions for the future of flexible workspaces and the legacy of Adam Neumann’s approach to business. They can consider the impact of the pandemic on office spaces and how Neumann’s story might influence future entrepreneurs and investors. Share and discuss these predictions as a class.
Comprehension Questions:
1. What was the main concept behind WeWork’s business model?
2. How did the financial crisis contribute to WeWork’s initial popularity?
3. What were some of the unique aspects of WeWork’s work environment under Adam Neumann’s leadership?
4. Why did people start to doubt WeWork’s value as a company?
5. What happened to WeWork and Adam Neumann in 2019?
6. How did Adam Neumann manage his finances in relation to WeWork’s downfall?
7. What does the story of WeWork and Neumann teach us about company valuation?
8. What is the key lesson for business owners and investors from Neumann’s experience with WeWork?
Go to answers ⇩
Listen and Fill in the Gaps:
The rise and fall of WeWork and its founder, Adam Neumann, is a story that’s like a modern-day lesson. Neumann’s big personality and huge dreams made the (1)______ successful, but it all came crashing down in a big way. WeWork’s idea of offering flexible (2)______ wasn’t totally new, but it became popular after the financial crisis when there were lots of empty commercial spaces and technology made it (3)______ to work from anywhere.
Neumann’s strong (4)______ and different way of doing things, like giving out free beer and creating a work environment that mixed work and personal life, attracted a young and energetic workforce. With a lot of money from important (5)______, (6)______ quickly grew around the world, but it was (7)______ a lot of money, and people (8)______ to question if it was really worth as much as a tech company. When WeWork tried to become a public company in 2019, it showed that there were bigger money problems, and its value dropped a lot, leading to Neumann stepping down as CEO.
Even though WeWork failed, Neumann was able to separate his personal (9)______ from the company and leave with a lot of money. He has since moved on to (10)______ in (11)______ things and got support from a big venture capital firm. The story of WeWork and Neumann is a warning about the dangers of wanting too much and valuing a company too highly based on what it could do instead of its real financial worth.
WeWork’s (12)______ success and failure show the risks of trying to grow too fast and (13)______ too much on investors being excited. The story of the company reminds us how important it is to (14)______ money carefully and really understand how much a business is worth, instead of getting caught up in the (15)______ of growing quickly and being worth a lot. Neumann’s journey is a lesson for both business owners and investors, showing that it’s important to have a balanced approach to growing a business and (16)______ sure it can stay financially healthy.
Go to answers ⇩
Discussion Questions:
Students can ask a partner these questions, or discuss them as a group.
1. What do you think about the idea of mixing work and personal life in the workplace? Why?
2. Have you ever experienced a really fast-paced work environment? Did you like it or not, and why?
3. How would you feel if your boss was a person with a big personality and huge dreams?
4. Do you think it’s important for a leader to have strong leadership skills? Why or why not?
5. What is your opinion on companies that offer things like free beer to their employees?
6. Have you ever worked in a flexible workspace? If so, did you enjoy it?
7. Do you think it’s risky for a company to grow very quickly? Why or why not?
8. What is your definition of a successful company?
9. How would you feel if you invested in a company that failed?
10. Do you think it’s fair for CEOs to leave a failing company with a lot of money?
11. What do you think is more important for a business: to grow fast or to be financially healthy?
12. Do you like the idea of working for a startup that’s trying to grow quickly? Why or why not?
13. How important do you think it is for a company to have a clear financial plan?
14. Do you think Adam Neumann was a good leader despite the failure of WeWork? Why or why not?
15. What lessons do you think other business owners can learn from the story of WeWork and Adam Neumann?
Individual Activities
Vocabulary Meanings:
Match each word to its meaning.
Words:
1. rise
2. fall
3. successful
4. crashing
5. flexible
6. attracted
7. separate
8. venture
Meanings:
(a) A new business project with risk involved
(b) To keep apart or divided
(c) Coming down suddenly and hard
(d) Achieving what you wanted
(e) Going up
(f) Going down
(g) Able to change easily
(h) Getting the attention of
Go to answers ⇩
Multiple Choice Questions:
1. What was one of the reasons WeWork became popular after the financial crisis?
(a) They offered free beer
(b) They had a big venture capital firm supporting them
(c) They had a famous CEO
(d) There were lots of empty commercial spaces
2. Why did WeWork attract a young and energetic workforce?
(a) Their high salaries
(b) Their strict dress code
(c) Neumann’s strong leadership and different work environment
(d) Their long working hours
3. What happened when WeWork tried to become a public company in 2019?
(a) It became the most valuable company in the world
(b) Its value dropped a lot
(c) Neumann became the richest person in the world
(d) It became the most successful IPO in history
4. What did Neumann do after leaving WeWork?
(a) Start a new company to compete with WeWork
(b) Invest in other things and get support from a big venture capital firm
(c) Retire and live on a private island
(d) Become a professional surfer
5. What does the story of WeWork and Neumann remind us about managing money in a business?
(a) It’s important to spend money as quickly as possible to grow the business
(b) It’s not important to think about money when growing a business
(c) It’s important to take big risks with money to become successful
(d) It’s important to manage money carefully and really understand a business’s worth
6. What does the article say about the risks of trying to grow a business too fast?
(a) It shows the risks of trying to grow too fast and depending too much on investors being excited
(b) It’s always a good idea to grow a business as fast as possible
(c) It’s not risky to grow a business quickly
(d) It’s important to grow a business as slowly as possible
7. What is the main lesson for business owners and investors from the story of WeWork and Neumann?
(a) It’s not important to have a balanced approach to growing a business
(b) It’s important to take big risks with money to become successful
(c) It’s important to have a balanced approach to growing a business and making sure it can stay financially healthy
(d) It’s important to grow a business as fast as possible
8. What is the warning from the story of WeWork and Neumann?
(a) The dangers of wanting too much and valuing a company too highly based on what it could do instead of its real financial worth
(b) The dangers of not wanting enough and undervaluing a company
(c) The dangers of not taking any risks in business
(d) The dangers of not having a famous CEO
Go to answers ⇩
True or False Questions:
1. The founder of WeWork, Adam Neumann, had a big personality and attracted a young and energetic workforce by creating a work environment that mixed work and personal life.
2. WeWork’s slow success and failure show the benefits of trying to grow too slowly and depending too little on investors being excited.
3. Neumann’s journey with WeWork is a lesson for both business owners and investors, emphasizing the importance of managing money carefully and understanding a business’s real worth.
4. When WeWork tried to become a private company in 2019, its value rose a lot, and Neumann stepped up as CEO.
5. WeWork, a company offering inflexible workspaces, became popular after the financial crisis and the development of technology that made it harder to work from anywhere.
6. The rise and fall of WeWork is a warning about the dangers of wanting too much and valuing a company too highly based on what it could do instead of its real financial worth.
7. WeWork slowly shrank around the world with a little money from unimportant supporters, but it was gaining a lot of money, leading to no questions about its real financial worth.
8. Despite WeWork’s failure, Neumann was able to leave with a lot of money and has since moved on to invest in other things with support from a big venture capital firm.
Go to answers ⇩
Write a Summary:
Write a summary of this news article in two sentences.
Writing Questions:
Answer the following questions. Write as much as you can for each answer.
1. What was unique about WeWork’s approach to office spaces, and why did it become popular after the financial crisis?
2. How did Adam Neumann’s personality and leadership style contribute to WeWork’s initial success?
3. What financial issues did WeWork face that became apparent when the company attempted to go public in 2019?
4. Despite WeWork’s failure, how did Adam Neumann manage his personal finances?
5. What lessons does the rise and fall of WeWork teach about business growth and valuation?
Answers
Comprehension Question Answers:
1. What was the main concept behind WeWork’s business model?
The main concept behind WeWork’s business model was offering flexible workspaces.
2. How did the financial crisis contribute to WeWork’s initial popularity?
The financial crisis contributed to WeWork’s initial popularity because there were many empty commercial spaces and technology advancements made it easier to work from anywhere.
3. What were some of the unique aspects of WeWork’s work environment under Adam Neumann’s leadership?
Under Adam Neumann’s leadership, WeWork had unique aspects like free beer and a work environment that combined both work and personal life, which attracted a young and energetic workforce.
4. Why did people start to doubt WeWork’s value as a company?
People started to doubt WeWork’s value as a company because it was losing a lot of money, and there were questions about whether it should be valued as much as a tech company.
5. What happened to WeWork and Adam Neumann in 2019?
In 2019, WeWork’s attempt to become a public company revealed bigger financial issues, leading to a significant drop in its value and Adam Neumann stepping down as CEO.
6. How did Adam Neumann manage his finances in relation to WeWork’s downfall?
Adam Neumann was able to separate his personal finances from the company’s and left with a substantial amount of money despite WeWork’s downfall.
7. What does the story of WeWork and Neumann teach us about company valuation?
The story of WeWork and Neumann teaches us the dangers of overvaluing a company based on its potential instead of its actual financial performance.
8. What is the key lesson for business owners and investors from Neumann’s experience with WeWork?
The key lesson for business owners and investors from Neumann’s experience with WeWork is the importance of a balanced approach to growing a business and ensuring it remains financially stable.
Go back to questions ⇧
Listen and Fill in the Gaps Answers:
(1) company
(2) workspaces
(3) easier
(4) leadership
(5) supporters
(6) WeWork
(7) losing
(8) started
(9) money
(10) invest
(11) other
(12) quick
(13) depending
(14) manage
(15) excitement
(16) making
Go back to questions ⇧
Vocabulary Meanings Answers:
1. rise
Answer: (e) Going up
2. fall
Answer: (f) Going down
3. successful
Answer: (d) Achieving what you wanted
4. crashing
Answer: (c) Coming down suddenly and hard
5. flexible
Answer: (g) Able to change easily
6. attracted
Answer: (h) Getting the attention of
7. separate
Answer: (b) To keep apart or divided
8. venture
Answer: (a) A new business project with risk involved
Go back to questions ⇧
Multiple Choice Answers:
1. What was one of the reasons WeWork became popular after the financial crisis?
Answer: (d) There were lots of empty commercial spaces
2. Why did WeWork attract a young and energetic workforce?
Answer: (c) Neumann’s strong leadership and different work environment
3. What happened when WeWork tried to become a public company in 2019?
Answer: (b) Its value dropped a lot
4. What did Neumann do after leaving WeWork?
Answer: (b) Invest in other things and get support from a big venture capital firm
5. What does the story of WeWork and Neumann remind us about managing money in a business?
Answer: (d) It’s important to manage money carefully and really understand a business’s worth
6. What does the article say about the risks of trying to grow a business too fast?
Answer: (a) It shows the risks of trying to grow too fast and depending too much on investors being excited
7. What is the main lesson for business owners and investors from the story of WeWork and Neumann?
Answer: (c) It’s important to have a balanced approach to growing a business and making sure it can stay financially healthy
8. What is the warning from the story of WeWork and Neumann?
Answer: (a) The dangers of wanting too much and valuing a company too highly based on what it could do instead of its real financial worth
Go back to questions ⇧
True or False Answers:
1. The founder of WeWork, Adam Neumann, had a big personality and attracted a young and energetic workforce by creating a work environment that mixed work and personal life. (Answer: True)
2. WeWork’s slow success and failure show the benefits of trying to grow too slowly and depending too little on investors being excited. (Answer: False)
3. Neumann’s journey with WeWork is a lesson for both business owners and investors, emphasizing the importance of managing money carefully and understanding a business’s real worth. (Answer: True)
4. When WeWork tried to become a private company in 2019, its value rose a lot, and Neumann stepped up as CEO. (Answer: False)
5. WeWork, a company offering inflexible workspaces, became popular after the financial crisis and the development of technology that made it harder to work from anywhere. (Answer: False)
6. The rise and fall of WeWork is a warning about the dangers of wanting too much and valuing a company too highly based on what it could do instead of its real financial worth. (Answer: True)
7. WeWork slowly shrank around the world with a little money from unimportant supporters, but it was gaining a lot of money, leading to no questions about its real financial worth. (Answer: False)
8. Despite WeWork’s failure, Neumann was able to leave with a lot of money and has since moved on to invest in other things with support from a big venture capital firm. (Answer: True)
Go back to questions ⇧
