Second, they could possibly expand their operations in related industries such as travel guides, partnering with airlines or car rentals, house cleaning, and travel insurance(). This could increase the number of customers using Airbnb, as well as intruding new demographics to the company. Threat: Airbnb has a simple business structure, they are a community marketplace for people to list, discover, and book unique accommodations around the world (). Because their idea is so simple, companies such as Wimdu, VayStays, and HouseTrip have easily copied their ideas. Customers may decide to use a company other than Airbnb because there are so many companies similar to it.
4. Case Study Airbnb Airbnb is a company founded in San Francisco in 2008 by Brian Chesky (CEO), Joe Gebbia (CPO) and Nathan Blecharczyk (CTO). (Airbnb webpage) It is one of the most famous example of this new economic system. Their principles are based on the idea that especially young people nowadays prefer to only use things instead of owning them and being responsible for them. Geron (2013) goes as far as to say [setzt noch einen drauf so öppis ide art meini da ] that Airbnb provides its participants with liberty, power and independency.
Marriott International vs. Airbnb Although Marriott International has a competitive advantage of being the largest hotel company in the world, experiencing years of remarkable growth with the acquisition of Starwood Hotels, and ranking at number 163 on this year’s Fortune 500, it operates in a highly competitive market. The recent success of Airbnb, for example, has had major effects on the hotel industry as it has quickly become a threat. Airbnb, founded in 2008, is an online hospitality service that provides short-term lodging and unique travel accommodations around the world with more than 3,000,000 lodging listings in 65,000 cities and 191 countries. Having a value of over $10 billion, Airbnb “exceeds that of well-established global hotel chains like Hyatt” (Hospitality Net). This proves that this online service is significantly surpassing these stable hotel chains that have been competing in the industry for over 60 years.
These partnerships will bring increased usage, promoted traffic, and growth in revenues, that will benefit not only Airbnb but also the outside providers. When browsing for choices of accommodation providers, partnerships such as car rental services, review services, and airline agencies are all practical options for Airbnb. Further more, the “peer to-peer online marketplace” industry also presents as potential advantage for other partnerships. With this people could then, instead of just selling their free room go on to provide other rental goods from the same host, such as, the opportunity of renting someone’s car or rent a spare digital camera. The usage of services these services can then be promoted through incorporating the two together and collectively pushing the potential of the collaborative consumption
Conflict with government policies: Some governments have strict laws on ridesharing policies like having meters, and the laws of each city is different. This causes some problems for Uber to do their business because their business violates some of the conditions of the law. 6. Rating customers is a problem: Some passengers are rated unfairly due to their race or other factors that they are not able to control. This leads to discrimination and it is unfair for the passengers making it harder for them to use the service they desire.
A case in point is Airbnb advocates host provide detailed information about equipment to families with children. This act facilitates the communication between hosts and guests. In addition, through communication, hosts can adjust and provide better consumers-based service. As a result, guests enjoy superior experience and hosts receive higher rating. The arrangement can also apply in disabilities.
Airbnb summons that it is not responsible for increasing the rental and housing prices in London The problem of housing shortages exists in London. The managing director of Airbnb’s Europe, Middle East and the Africa branches, Mr. Olivier Gremillon, said that, the short term and the vacation rentals sites like Airbnb should not be blamed for the shortage of housing and the housing crunch in the capital. Few studies have been made regarding the rise in housing capital. In which it was found that, Airbnb was not the reason for that. And there are many reasons for the increase in prices.
Airbnb is the ideal platform for affordable and convenient stay The San Francisco based private rental property provider, Airbnb is the leading rental company with two million listings in 34,000 cities in one hundred and ninety one countries. The online peer to peer marketplace was founded in August 2008 enables the property owners to list the property for a short period of stay and the guests can book a rental place with much cheaper rate than that of the hotels. For each booking made on the rental platform, the company collects the service fee from both the hosts and the guests. Growth of the online marketplace Initially the company was offering short time period for staying and breakfast for the business customers who had a hard time finding
This caused protests on the streets. Also, the company is facing with laws and regulations in several countries about their calculating system and driver’s licensees. Safety is another issue for Uber that need to change. This case study will analyze why Uber is one of the successful ridesharing companies in United Kingdom with service is available in 45 countries and 200 cities worldwide. Opportunity and threats will be provided as well to see whether the company will sustainable in the future or not.