Analysis of the WeWork Bankruptcy Case

Authors

  • Yihan Wu

DOI:

https://doi.org/10.54097/m6fjq452

Keywords:

Softbank; WeWork; shared office space; prospect analysis; bankruptcy.

Abstract

This paper use case analysis and strategy analysis methods for the bankruptcy of Softbank for more than $13 billion US dollars in 2018, and in 2022 to analyze the acquisition process of WeWork acquisition, the impact of WeWork bankruptcy, and Softbank's countermeasures. The analysis of this paper shows that the business pre-bankruptcy status and key factors are the key to the WeWork bankruptcy, and the post-bankruptcy impact also needs to consider the association with the acquisition. Finally, the measures taken by WeWork for the company's bankruptcy restructuring were discussed, as well as the challenges and opportunities faced by Softbank after WeWork's bankruptcy. On the one hand, the slowdown in global economic growth and increased uncertainty have brought enormous pressure to Softbank. On the other hand, with the continuous advancement of technological innovation, Softbank Group can achieve sustained growth by investing in emerging industries. This paper provides theoretical and practical references for theoretical research and practice in related fields. This paper reminds investors to understand the company's financial situation and business model during the domestic acquisition process. Attention should also be paid to the risk management after the acquisition.

Downloads

Download data is not yet available.

References

Liu, D. Q. Exploration of the development from sharing economy to social co creation. Chinese market. 2023, 32: 24-27.

Chen, B. Cui, R. M. Analysis of the impact of COVID-19 on the world economy and its response from the perspective of "a community with a shared future for mankind". Regional and Global Development. 2020, 4(6): 5-22.

Hossain, M. The effect of the Covid-19 on sharing economy activities. Journal of Cleaner Production, 2021, 280: 124782.

Wu, Y. H. Softbank’s acquisition of WeWork process Retrieved from: http://www.WeWork.com/newsroom /WeWork-announces-signifiicant-funding-from-Softbank-group.

Wu, Y. H. Softbank 2019 Financial Annual. Retrieved from: https://www.Softbank.jp/en/.

Wu, Y. H. WeWork Financial Statements. Retrieved from: https://data.eastmoney.com/.

Wu, X. N. Research on the risks, coping strategies and effects of cross-border acquisitions. Zhejiang: Zhejiang University of Finance and Economics. 2023

Wu, T. T. From "King of Potash" to bankruptcy reorganization: Case analysis of YH Company's investment failure. Nanchang: Nanchang University. 2021

Sui, C. G. Case analysis of the bankruptcy reasons of JG Group. Chongqing: Southwest University.

Wu, Y. H. Softbank 2022 Financial Annual Report. Retrieved from: https://www.Softbank.jp/en/.

Li, S., Gao, D., Hui, X. Corporate governance, agency costs, and corporate sustainable development: a mediating effect analysis. Discrete Dynamics in Nature and Society. 2021, 1-15.

Jain, M., Gupta, S., Gupta, S., Pandey, M. K. Content intelligence technology: A business transformation tool in emerging economies. Journal of Information and Optimization Sciences. 2022, 43(6): 1311-1321.

Cui, M. Case study on bankruptcy reorganization of Salt Lake Shares. Guangdong: South China University of Technology. 2022

Yin, Z. H., Choi, C. H. Has the Internet increased FDI, economic growth, and trade? Evidence from Asian economies. Information Development. 2022, 38(2): 192-203.

Aalbers, H., Adriaanse, J., Boon, G. J., van der Rest, J. P., Vriesendorp, R., Van Wersch, F. Does pre‐packed bankruptcy create value? An empirical study of postbankruptcy employment retention in The Netherlands. International Insolvency Review. 2019, 28(3): 320-339.

Downloads

Published

10-04-2024

How to Cite

Wu, Y. (2024). Analysis of the WeWork Bankruptcy Case. Highlights in Business, Economics and Management, 30, 307-314. https://doi.org/10.54097/m6fjq452