Wow, the CEO sounds extremely out of touch with the company culture. If your company has a Facebook group for ex-employees to come together and process their terrible experience working for you, there's a problem regardless of if you're able to admit it to yourself.
[Edit] Also, what happens if I rent a dress and hate it? Suddenly I'm two days out from an event with a dress that looks terrible and that I've spent $150 on with nothing to show for it. I'd rather take $150, go to Nordstrom, and buy a dress that I know looks good on me because 1- I've tried it on and 2- I have gotten it tailored. Off-the-rack dresses/formalwear rarely looks amazing on anyone without a little tailoring.
[Edit] Also, what happens if I rent a dress and hate it? Suddenly I'm two days out from an event with a dress that looks terrible and that I've spent $150 on with nothing to show for it. I'd rather take $150, go to Nordstrom, and buy a dress that I know looks good on me because 1- I've tried it on and 2- I have gotten it tailored. Off-the-rack dresses/formalwear rarely looks amazing on anyone without a little tailoring.