Success in the Sharing Economy means building a business style based on trust, authenticity and transparency with your customers. Airbnb has been successful in the sharing economy thanks to several key factors. First, Airbnb has opened up a new type of accommodation by allowing hosts to offer spare rooms or entire homes to potential guests in a peer-reviewed digital marketplace. Their business is growing at an impressive rate and was recently valued at $30 billion, making them currently the largest hotel group in the world without owning a single hotel. Capitalizing on the abundant use of smartphones and ever-decreasing technology costs, Airbnb has provided a platform where people can instantly share different resources. As a result, the owner of a house with an extra room might offer it for rent. The individual can simply register through the platform and start offering the service. The user can then rent that space. Next, Airbnb is the middleman between hosts and guests. This is where the company earns its share of revenue from two different sources. The company charges hosts an 11% commission on each booking made through the platform and a percentage of the booking amount as transaction fees to be paid by the traveler on each confirmed booking. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an Original Essay They also decouple revenue from the considerable operating expenses of traditional hospitality businesses and provide significantly lower operating costs than hotels, motels, and lodging. and breakfasts. Rather than expenses related to owning and managing real estate, Airbnb's expenses were those of a technology business. Therefore, Airbnb has brought a change to the consumer experience. They believed that guests wanted a community and a closer relationship with the host. If hosts help guests live like residents and help them explore lesser-known secret places, guests will feel welcome and at home. This is one of the areas where Airbnb blows away competitors with its meaningful content. Visiting the website and accessing the stories section will allow users to understand the world of hosts and guests and their stories and experiences. These stories are intended to engage and create an emotional connection with readers. I would recommend Airbnb spend more money on research and development to find more ways to expand their business beyond a bed-sharing app. The company is expected to increase its market share in the industry, as it will face an aggressive reaction from its competitors, also Airbnb today is valued more than many hotels which are asset-based companies, which is a plus for the company at this moment. Airbnb should try to provide more services to its customers than just providing a bedroom, as the company should make the customers' experience more interesting than that. Airbnb should expand more to other places in the world to try to cover as many competitor-dominated geographic areas as possible. The company's main weakness is ensuring that its customers are in the safest areas and hosted by the safest hosts. Please note: this is just an example. Get a custom paper from our expert writers now. Get a Custom Essay It is not advisable to have strangers in your house at night and vice versa. Theft, destruction of property, kidnapping are the reasonable threats related to AirBnB bed sharing and therefore i.