Airbnb Strategic Analysis: Positioning, Competition, and Future Growth

This essay provides a business strategy analysis for Airbnb, focusing on its current challenges, future aspirations, and innovations using the Three Horizon framework. The analysis identifies key positioning issues for Airbnb, including its economic environment, strategic capabilities, strategic purpose, and company culture. It highlights Airbnb's competitive advantages, such as offering affordable prices and high-quality services, and explores its efforts to build a strong culture through core values, discussions, and company events. The strategy statement proposes Airbnb to grow into a global company that offers economical, comfortable, welcoming and reliable airbed accommodation services to people from all walks of life.

Business Strategy for
Airbnb

Introduction
The strategy statement I would propose for
Airbnb is;
‘To grow into a global company that offers
economical, comfortable, welcoming and
reliable airbed accommodation services to
people from all walks of life.’

The ‘Three Horizon’ analysis
It is a framework used by businesses in determining the
way forward for their activities. This framework covers
three elements, which include; present challenges, future
aspirations and possible innovations that can be put in
place to address the first two horizons. The present
challenges are a combination of all the obstacles being
faced by a company now.

Three Horizons (cont.)
Basing on ‘Horizon 1’, the Airbnb
Company’s current challenges include;
Unhealthy competition- the competitors of
Airbnb are tarnishing the name of the
company by pointing out their mistakes to the
public.

Still on Three Horizons
‘Horizon 2’ talks about Airbnb future
aspirations, which include;
Maximizing profit
Growing into a global company
Being the best in the market despite
competition
Increasing their finance worth

Lastly, ‘Horizon 3’ of Airbnb covers
innovations, which include;
Building the culture through core values
Encouraging discussion
The establishment of annual meetings
Organizing parties

Key Positioning Issues for Airbnb
Environment - Basing on the economic
environment, the key positioning advantage
of Airbnb is the cheap price offered to
customers for quality services
Strategic capability - Strategic abilities of
Airbnb include; cheap prices for friendly
services, high-quality professional pictures
for attracting customers, employing five
hundred more people, and updating their
website frequently.

Still on key positioning issues
Strategic purpose - The strategic purpose of Airbnb is to
promote culture through a consideration of core values in the
organization.
Culture - Airbnb intends to build their culture among
employees through holding parties, annual meetings, baby
showers and holding frequent discussions concerning their
core values.