B) Airbnb (www.airbnb.com) is a
virtual hospitality marketplace which enables individuals to hire
or rent short-term accommodation, including holiday rentals,
holiday rentals, homestays, hostel beds or rooms for guests to stay
in 65,000 urban areas in 191 countries. Instead of checking into a
hotel or B&B, users live in properties of other individuals,
perhaps having a more eccentric and personal experience. The
business does not own any accommodation; it is merely a broker and
in conjunction with each booking receives percentage service fees
(commissions) from both guests and hosts.
Airbnbs can also be accessed via
Airbnb 's websites or mobile apps for iOS, Apple Watch, and Android
for accommodation by means of a number of filters including lodging
style, dates, location and pricing.
With the Airbnb app, travelers can easily search the database with
the details of when and where they want to travel.
A) The goal of the five strength
analysis carried out by Porter on Airbnb is to create competitive
advantages and Airbnb strategies for more passengers. Porter's
strategic analysis model is a commonly used tool in many sectors
for designing a plan. Porter said that a combination of five top
strengths – competition between existing business players, the
challenge of new entrants, the possibility of competing goods and
the negotiating power of suppliers and consumers – could be viewed
as a business character in the industry.
- Potential threat of new entries:-
The threat of market new entries is weak and flexible for Airbnb.
At the surface there seem to be few barriers to entry, so any
website will compete with Airbnb. Airbnb is not only well funded,
however, but operates in almost 200 countries. To challenge a
client, it would take both access to millions of capital to reach
the account and an excellent market share to capture and compete
with Airbnb's demands.
- The threat of replacement: The
threat of replacement is high as the shift cost for individuals
using Airbnb is absent. Customeairbnb homework writers UK, USArs
are very easy in the future to choose a traditional hotel, B&B,
hostel and couch surf. As it grows, Airbnb also offers the same
concept to its competitors or companies.
- Client power to negotiate:- Client
power with regard to Airbnb is high, as consumers currently have a
wide range of services (price, location and host rating) to choose
from. In the development of tourism and hospitality of a country ,
economic growth has always been helpful. Airbnb has been regarded
as a cheaper option for most travelers compared to other options,
such as hotels or motels.Although the host rooms and apartments on
Airbnb's web platform do not have any price negotiation avenues,
they can, however, choose from the alternatives of their prices and
styles to buy the power and thus quickly decide where to stay
without damaging financial resources.
- The power of suppliers to negotiate
: -The dealing power of vendors is meagre, as the Airbnb which
controls the relationship between the two parties has made the
renting of rooms and apartments difficult for persons who attempt
to rent their accommodation have no alternative way for the Airbnb
app to communicate with customers. The hosts are the fundamental
level, which offers potential customer services. In conjunction
with the host, Airbnb works to avoid client problems. While the
union does not allow such suppliers to cooperate in order to
position Airbnb demands, Airbnb nevertheless offers hosts the
freedom to determine their boarders on terms, always in compliance
with rules and brand values. Depending on any situation, the host
may choose if it wishes to change prices. The rents are exclusive
and concentrate on extraordinary places for large volumes of
tourists which offer a range of prices for all types of
customers.
- Rivalry between companies :-SWOT
analysis AirbnbRivalry is usually the largest force in five
competitive forces among existing companies. There's moderate or
even low rivalry between the two. Many high-quality Airbnb rivals
with Airbnb-like networks and websites. Sites like OneFineStay.com,
Tripping.com and HomeAway.com, as well as Expedia.com are in the
process of overwhelming Airbnb. One of Airbnb 's competitors is the
Onefinestay.com. One is inevitably aware of this. Onefinestay is a
5-year-old London business that acts as a state-of-the-art Airbnb
service, renting expensive homes and flats to visitors in cities
worldwide while the owners are abroad. At present, the houses on
the site are much swanker than those on other websites like Airbnb,
with a regular charge over a one-style property being above $600
(£382) per evening and are now being operational in London, LA,
Paris and New York, and more than 10,000 homes in its books. Each
hotel washes linen and skincare products before and after people
stay, just like a hotel. The company takes all its pictures of the
properties for commercialisation.
- Efficient market climate
competitive advantage:- Competition is increasingly
increasing in the industrial world. In the 21st century, an
information system serving its customers will drive the growth of a
business. The consumer would slowly desert companies that do not
want to develop in the area of information systems because they are
considered inefficient, less helpful or less responsive. The market
provides so many products and facilities that are similar and
almost equivalent to the growing consumer demand. Time-testing,
although it was declared bankrupt in 2009, Airbne operations
succeeded in dusting themselves off and proved that they survive
any trial and error in the operations of a business. In the past,
thrifty tourists have widely used this kind of service in search of
inexpensive places to stay in the region.
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