AirBnB: Managing trust and safety on a platform business

Abstract

AirBnB has become a preferred accommodation marketplace for the travellers around the world. AirBnB is a two-sided digital platform that connects guests and hosts. In so doing, it creates value for both sides of the platform. Guests save money on the accommodation and hosts get earnings from their otherwise idle space. The case follows the company from the inception to its growth and current challenges with wider community. The case helps to understand the key features of digital platforms: how do they create value for all users; how do they shape value propositions for two sides, and how does the community become a stakeholder in the platform business. It also focuses on the issue of trust and the need for the company to integrate the concerns of other stakeholders such as communities and local authorities. Finally, the case highlights the impact of Covid-19 on the company and the travel industry.