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Homework answers / question archive / Questions  1) How was an Internet startup able to disrupt the hotel industry, long dominated by giants such as Marriott and Hilton, which took decades to become successful worldwide hospitality chains? Explain

Questions  1) How was an Internet startup able to disrupt the hotel industry, long dominated by giants such as Marriott and Hilton, which took decades to become successful worldwide hospitality chains? Explain

Management

Questions 
1) How was an Internet startup able to disrupt the hotel industry, long dominated by giants such as Marriott and Hilton, which took decades to become successful worldwide hospitality chains? Explain. 
2. Why is it that PESTEL factors can have such a strong impact on the future of a business? Do you support legis-lation such as that passed in New York (and elsewhere), or do you think it has more to do with protecting vested interests such as the hotel industry? 
3. Citing the Digital Millennium Copyright Act (DMCA), Airbnb is challenging the New York law and others in the United States, arguing that it merely operates a digital marketplace, and thus is not responsible for the con-tent that users place on its site. Do you think Airbnb has a strong argument? Why or why not? 
4. Are you concerned that the concept of the sharing economy could be abused by unscrupulous "entrepreneurs" and thus give the entire novel concept a bad reputation? Why or why not? Explain. 
 

CHAPTERCASE 3 Part II 
Eva MOW. k MOAB is, at $31 billion, one of the most *dad& Osage sways in the world and offers more accom-modbeinasilian Ilac kargest hotel chains (Marriott, Hilton, mod heascomiaratat f combined, not all is smooth sailing. In pertialw, FURL briars discussed in this chapter are creat-ive mg* hemisiimds kor Atbnb. Take regulation, for example. 1* 2114, Nor Yost state strengthened legislation first faimill is 20111hiamalms iblegai to rent out entire apartments itsidesii4 blocks is New York City for less than 30 days. It stamiaskgal 1t maw is hying in the apartment at the same lime. so space shoeing" is still possible. Fines start at SUMO kw Ike first offense and rise to $7,500 for repeat offend-COL Pais. liesim, mod Ba:ctiona face similar problems and have pumed boss wile a= stiffer penalties, fining offenders up to Sl*:( This legislation crates major problems for Airbnb ircami4 ' Coy is 111, far its largest market, with more INN 56 11111, Asians available for rent. In 2018, the city dam- Yogi step further and sued residential bro-It-1W fins (asTr.e.J. as game of their employees) for allegedly issimikibabis ma ilicgai apartment rental scheme that earned ar: tviummod The mow for Ai is that about one-third of its listings ast mapir musupalitme areas such as New York City are from 
hosts with multiple offerings in the same city. Commercial landlords realized quickly that it is more profitable to convert some apartments into short-term rentals and to offer them via Airbnb than to sign long-term rentals with just one ten-ant, which often fall under some form of rent control. Al-though this tactic increases the landlord's return on investment and profits, it creates all kinds of negative exter-nalities. Neighbors complain about noisy tourists partying all night. Some apartments get ransacked or are used for illegal activities such as drug deals and prostitution. New Yorkers expressed their frustration by scrawling on Airbnb posters: "The dumbest person in your building is passing out keys to your front door!"48 Hotel chains and resort owners have challenged Airbnb in courts and lobbied local governments to pass regulations to limit or prohibit short-term rentals—some of which already have. Residents in New York City, San Francisco, Berlin, Paris, and many other cities have joined this lobby, arguing that companies like Airbnb contribute to a shortage of afford-able housing because they turn entire apartment complexes into hotels and quiet family neighborhoods into daily, all-night party venues. Airbnb is also being criticized for accelerating gentrification in some cities.

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