At times in life, we all need to step back and reevaluate where we are, what we are doing and the functions of things in our life. It seems with the announcing that Peloton had announced losses as it was filing for its IPO, that perhaps we need to rethink the idea of what role a corporation has in our society and economy. For those who might have missed the news, Pelton, in making its move to publicly trade its stock had to make public its finances which showed that it had losses of $196 million dollars. Yet, why should we be concerned, stated the company is “so much more” than a maker of fitness equipment” in short going on to say that Pelton helps people exercise which makes them happy so by extension, Pelton is selling happiness.
With that small matter of insolvency brushed aside like the brow sweat from a brisk walk to the refrigerator, the article goes on to detail the plans the company has to sell its financially, if not morally, bankrupt company. And why should we be surprised? We have had a TV show about nothing, so why not have a company about nothing other than redistributing its wealth from the shareholders, to the management. Studying economics in my youth, we were taught that a corporation was there to provide goods and services to its customers, with that role later changing to add the idea of bringing value to the shareholders. As time has gone on that role has shifted again, now some seem to treat consumers with contempt, look at the continued outrages over poor or non-existent customer service or the opioid crisis basically occurred as companies put profit over people. Now while the courts are finally bringing big pharma to task, here comes Pelton, boldly saying, you want to be happy, give us your money. It will be interesting to see going forward if people will buy into this new fiasco or if they will realize that the emperor has no clothes and all of our money will not buy him any.