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In corporate lingo, I think their “core business” is any vacation rental? Partnering with hotels could perhaps have been a viable path for them to grow that and still fit with their business acumen. But I use other platforms for that service now.



What kind of partnership with hotels could they have made that would have set them apart from the dozen options I already have for booking hotels?


There's no need to be super different. AirBnB has a huge userbase, cashflow, reputation, etc... they ought to provide a good search and booking service to users. (And there's all the potential for adding more and more upsell points and value-added services. From flights, insurance, car rental, local activities, museum and national park tickets to ... whatever they are now fucking around with, like fitness and food.)




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