Airbnb in $2023$

ASSIGNMENT QUESTIONS

How would you illustrate and compare the business models for Airbnb, large hotel chains such as Marriott and Hilton, and bed & breakfast operators? Prepare a table using the Illustration Capsule $1\mathrm{.}2$ on pages $14-15$ as a model for your table. $($Label this Appendix A$)$

What are the feneral strengths and weaknesses of a$)$ large hotel chains such as Marriott and Hilton, b$)$ bed & breakfasts, and c$)$ Airbnb? Explain how you would compare and contrast those businesses. List and describe the strengths and weaknesses of each. $($Label this Appendix B$)$

What was Airbnb's response to the COVID$-19$ pandemic? Does it appear that the company's business model is more resilient than that of its hotel chain rivals?

In what ways has the lodging consumer changed, and how does Airbnb's customer value proposition meet this change?

What is your assessment of Airbnb's financial performance since the company has gone public? Calculate the Compound Annual Growth Rate $($CBGR$)$ in Airbnb, Inc.$\text{'}$s Bookings, Gross Booking Value, and Revenue by region. Do the same for selected items in Airbnb's income statements. Then, calculate Airbnb's operating profit margin, net profit margin, return on assets, and return on equity for $2019-2022$ for the years where data is available. Create a table to show the results of your financial analysis. $($Label this Appendix C$)$

What recommendations would you make to Airbnb to improve its competitiveness in the accommodation market while mitigating current and future risks?Appendices

Appendix A: Business Model

$\backslash$table$[[$Large Hotel Ghains,$\backslash$table$[[$Bed $8$ Breakfast$],[($single proprletor$)]],$Alrbnb,$],[\backslash$table$[[$Customer Value$],[$Proposition$]],,,],[$Profit Formula,,,$],[$Profit Margin,,,$]]$

Appendix B: Strengths and Weaknesses

$\backslash$table$[[,$Large Hotel Chalns,$\backslash$table$[[$Bed & Breakfast$],[($single proprietor$)]],$Alrbnb$],[$Strengths$,,,],[$Weaknesses$,,,]]$

Appendix C: Performance Analysis

$\backslash$table$[[\backslash$table$[[$Nights and Experiences$],[$Booked$]],$CAGR $(2020-2021)],[\backslash$table$[[$Nights and Experiences$],[$Booked$]],],[,],[$Gross Booking Value,$],[,],[$Revenue$,],[,],[($calculated from Exhibit $1),]]$

$\backslash$table$[[$Financials$,$CAGR $(2019-2022)],[$Revenue$,],[$Cost of Revenue,$],[$Operations and Support,$],[$Product Development,$],[$Sales and Marketing,$],[$General and Administrative,$],[$Total Costs and Expenses,$],[$Net Loss,$],[($calculated from Exhibit $2),]]$

$\backslash$table$[[\backslash$table$[[$Selected Financial$],[$Ratios$]],$Formula Used,$2021,2020,],[\backslash$table$[[$Operating Profit$],[$Margin$]],,,,],[$Net Profit Margin,,,,$],[,,,,]]$