Earlier quoted context omitted.
Why aren’t there more of these if they work well?
They don’t allow genuine innovation in any shape or form, and that in particular leads to highjacking by bureaucrats and degradation. So they may work in short term (work for some at the price of oppressing the ones who don’t fit well into the collective) - I’m from USSR for example - yet the result is predetermined.
There aren't more of them because they have a hell of a time securing financing when most businesses are financed through equity sales which they can't do.