The Airbnb Business Travel Vertical in Asia: The Way Forward

  • Reference: IVEY-9B17M144-E

  • Year: 2017

  • Number of pages: 14

  • Geographic Setting: Asia

  • Publication Date: Sep 29, 2017

  • Fecha de edición: Mar 20, 2018

  • Source: Ivey Business School (Canada)

  • Type of Document: Case

  • Industry Setting: Accommodation & Food Services;

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Description

In March 2017, Airbnb needed to make some important decisions regarding its strategy for the Airbnb Business Travel Vertical (ABTV) in Asia. Despite a short history of less than three years since the formal announcement of its launch, the ABTV had exhibited promising performance. The business travel market offered many attractive characteristics, including its large size. Despite the attractiveness of the business travel segment, two issues related to the choice of countries and the choice of segments were of concern. Another key issue related to identifying the specific corporate clients to approach—whether to leverage existing relationships with multinational customers or to approach Asian corporate clients directly.

Learning Objective

This case can be used in undergraduate, graduate, or executive education courses to discuss corporate strategy issues. It can also be used in discussions on international strategy. After completion of this case, students will be able to understand the following: ·How competencies are built and how a core business can successfully expand through the acquisition of capabilities. ·How to navigate the varied challenges and opportunities posed by international business environments and interconnected markets. ·How to analyze the options and leverage capabilities for expanding a business line into international markets and/or a new space.

Keywords

Airbnb business travel entry strategy market attractiveness