The Business Model canvas shows that the various phases that proved to be critical in each of the three

company’s cases.

For Airbnb, it was the channels that they used to on-board the first set of customers. Their ingenious
integration with Craigslist, enabled access to a large user base. When these customer saw the superior
value proposition of Airbnb for property renting, it was an easy jump from Craiglist to Airbnb.

For Etsy, it would be the key partners ie. The local and famous artisans that they brought on-board.
These artisans were motivated to sell their goods online and their name recognition attracted more
customers. These partnerships provided solution to the key problem that multi -sided platform run into
– of increasing customer base and suppliers simultaneously.

Coming to Uber, it is very clear that it was the unmatched value proposition offered by the company
that brought on-board users. Uber’s platform solved nearly all of the problems of cab hailing. Starting
from locating a cab, directing a cab and payment, uber’s platform integrated all these and made it a
seamless experience. The second important area were the drivers who also had a incentive to join the
platform, compared to the previous model where the cab drivers were a close community (needed a taxi
medal to drive a cab in NYC)

In the digital matrix framework (DMF), Airbnb and Uber would be classified as “tech entrepreneur –
reinvention at the root “, while Etsy would be a “tech entrepreneur – collision at the core “. The reason
for this is that Airbnb and Uber fundamentally changed the business model of their industry, while Etsy
only modified or curated an already existing model (that of e-commerce). Airbnb revolutionized the
hospitality industry by enabling any and every person to rent out their extra space. Uber in similar
fashion allowed any capable to earn by driving a cab. Both companies used a strong technological
infrastructure that involved listing of properties/cars, variety of choice and online payment on a single
application. Etsy modified a successful model, by focusing only on handicrafts and artisanal products.
This focused offering, provided a better experience for buyers who were interested in purchasing such
products. They also worked with artisans to bring them on-board. Similar efforts were also made by the
other two companies but the degree of change in their industries was magnanimous.