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Unit Details
Unit Code HOS 3100 Unit Title Hospitality and Tourism Management
Name of Lecturer Nevil Alexander Due Date
Topic of Assignment The impact of AirBnB Group or Tutorial (if applicable) Group
Course Campus JO.
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HOTEL ARENA UTOPIA’S STRATEGIES TO DEAL WITH AIRBNB2
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2

THE THREE STRATEGIES FOR ARENA UTOPIA HOTEL TO DEAL WITH AIRBNB
Name of the Student
Name of the University
Author note

1HOTEL ARENA UTOPIA’S STRATEGIES TO DEAL WITH AIRBNB
Table of Contents
Introduction................................................................................................................................2
SWOT analysis of Arena Utopia Hotel......................................................................................2
The impact of AirBnB on Hotel.................................................................................................4
Strategy one: Promotional strategy............................................................................................7
Strategy two: Use AirBnB as a marketing tool..........................................................................8
Strategy three: Customer Satisfaction Strategy..........................................................................8
Recommendations....................................................................................................................10
Conclusion................................................................................................................................11
References................................................................................................................................12
1

2HOTEL ARENA UTOPIA’S STRATEGIES TO DEAL WITH AIRBNB
Introduction
If the management ignore the external force of AirBnB then it will have a negative
impact on the performance of the hotel. This scenario is hampering round 50% of the present
bookings leading to a financial loss of Arena Utopia Hotel. The following report provides a
brief light on three different strategies of how to overcome this force driving the change in
the hotel industry.
Finding
Apart from the common options of staying inside the hotel rooms, Airbnb furnishes
the travellers with additional alternatives for the needs regarding accommodation. Both
airbnb and hotels have same target market and when the supply of the lodging options
increases, there occurs a sudden push in the supply curve chain to the positive direction
leading to a decrease in the price. Thus it signifies that if the demand remains the same then
the firm performance will be low and so is the profit, Not only this, the difference in the
traffic plans between the hotels and the nearby located Airbnb listings cast a notable impact
on the overall performance of the hotel in that area.
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3HOTEL ARENA UTOPIA’S STRATEGIES TO DEAL WITH AIRBNB
Figure 1.0 (Deanna, 2017)
3