SYMBIOSIS INTERNATIONAL DEEMED UNIVERSITY

IICT I

A study on : Brian Chesky, Joe Gebbia, and Nathan Blecharczyk: The Airbnb
Revolutionaries

Submitted by:

____________________________________________________________

ANANYA CHAKILAM 21010324016

B.B.A. L.L.B. Division: C

In February, 2024

Under the guidance of

Mr. Rupesh Rajak

Assistant Professor, Symbiosis Law School, Hyderabad.

 Brian Chesky, Joe Gebbia, and Nathan Blecharczyk: The Airbnb
Revolutionaries

Introduction

The startup story of this company called Airbnb is extremely fascinating and motivational, It is an online
marketplace found by the iconic trio of “Brian Chesky, Joe Gebbia, and Nathan Blecharczyk” that
provides contacts and aids for a connection with the local hosts offering a wide array of unique lodging
options for vacation rentals and tourism activities. Founded in “2008 by Brian Chesky, Joe Gebbia, and
Nathan Blecharczyk, Airbnb” has transformed the way people explore destinations, fostering a sense of
community and belonging worldwide.Their journey is an inspiring tale of innovation, resilience, and the
power of collaboration.

About the company

An Inspiring Beginning: Airbnb's Origin Story

The startup tale of Airbnb is amazing. In 2007, Brian Chesky and Joe Gebbia, who shared a
room in San Francisco, were worried that they wouldn't have any money to pay their rent. While
searching for ways to pay the rent, the two learned about the design conference that was
scheduled to take place in San Francisco one weekend and discovered that every hotel in the city
was booked up.
Gebbia consequently wrote Chesky with an idea: What if they converted their
loft into a bed and breakfast designed by Gebbia, complete with breakfast and a sleeping mat? In
an attempt to "make some bucks," they decided to greet some conference guests in their room
straight away. By purchasing three air mattresses and accommodating three visitors, they
essentially launched the bed and breakfast industry.They were joined by three men and one
woman as their first visitors. For the use of an air mattress for the night, each guest had to pay
$80. Following the departure of the visitors, Joe and Brian had further conversation about the
concept and decided to proceed. They knew as a group just how huge their proposal could be.
They invited Joe's former roommate, Nathan Blecharczyk, a talented developer, to collaborate
with them on their idea and build a website.

About the founding partners of Airbnb

Brian Chesky: The Leader Behind Airbnb's Community :

In addition to serving as Airbnb's CEO, Brian Chesky is a co-founder who actively steers the
business in the right directions. He's been there from the start, confounding Airbnb with Joe
Gebbia as one of its first hosts in 2007.Beyond his job at Airbnb, Brian is dedicated to charitable
giving. He has committed to giving away a sizable amount of his fortune to charity by signing
the Giving Pledge. Brian, who is originally from New York, even engages in the Airbnb
experience program, which facilitates his communication with visitors in San Francisco.
 The community at Airbnb has expanded significantly under his direction. More than 800
million visitors have been hosted by more than 4 million hosts in more than 220 countries.
Because of his experience in design, Brian has had a significant influence on Airbnb's culture,
offerings, and connection-focused philosophy. He thinks that the design-focused methodology of
Airbnb fosters a feeling of community among members and makes it possible for strangers to
live together in comfort.

Joe Gebbia: From Artist to Airbnb Leader and Beyond :

In addition to being a co-founder of Airbnb, Joe Gebbia is the visionary behind two more innovative
projects. In addition to serving as the chair of Airbnb.org, a nonprofit organization devoted to providing
emergency lodging during natural catastrophes and emergencies, such as the current COVID-19 outbreak,
he leads Samara, Airbnb's innovation hub focused on influencing the future.
Similar to his co-founder Brian Chesky, Joe values generosity. As a host on Airbnb.org, he participates
actively on the platform and has made a substantial donation to charity via the Giving Pledge. Joe Gebbia
is still a force for good, whether he is driving the development of cutting-edge products or organizing
initiatives to aid the underprivileged

Joe has a long history in the arts. He began his career as an artist and even has dual degrees from the
Rhode Island School of Design—where he is currently a trustee—in graphic and industrial design. His
experience in the arts probably gives him a unique viewpoint in his work at Airbnb and elsewhere.

Nate Blecharczyk: The Strategist Behind Airbnb's Global Reach :

Nate Blecharczyk holds several key roles within Airbnb, serving as a co-founder, Chief Strategy Officer,
and chairman overseeing operations in China. He's instrumental in driving strategic initiatives that require
a deep understanding of the company's business, products, and data.
One notable accomplishment under Nate's leadership is the development of the Airbnb City Portal, a
software solution tailored to address the unique challenges faced by cities managing short-term rentals.
Prior to this, Nate led various important functions at Airbnb, including the development of engineering,
data science, payment systems, and performance marketing teams.

With a background in computer science from Harvard University, Nate's strategic acumen is undoubtedly
influenced by his technical expertise. Beyond his leadership role, Nate is personally invested in the
Airbnb experience, having stayed in numerous Airbnb properties and even sharing his own home in San
Francisco with his family as a host.In alignment with Airbnb's values, Nate and his wife Elizabeth are
dedicated to philanthropy, as evidenced by their commitment to the Giving Pledge, where they pledge to
use their resources for the betterment of society.

1. Factors motivated/forced to become an entrepreneur

The motivation to become an entrepreneur can stem from various factors, both internal and external.

1.Financial Need: Brian Chesky and Joe Gebbia were facing financial challenges, struggling to pay their
rent in San Francisco. This financial pressure served as a motivating factor for them to explore alternative
ways to generate income.

2.Opportunity Identification: When they learned about a design conference coming to San Francisco
and the shortage of hotel accommodations, Chesky and Gebbia saw an opportunity. They recognized a
gap in the market and identified a potential solution to address it.
3.Creativity and Innovation: Gebbia's idea of turning their apartment into a makeshift bed and breakfast
showcased their creativity and innovative thinking. Instead of being deterred by their financial situation,
they thought outside the box and came up with a unique concept.

4.Desire for Experimentation: The decision to host guests in their apartment was a bold experiment.
Chesky and Gebbia were willing to take a risk and try something new, demonstrating their entrepreneurial
spirit and willingness to venture into uncharted territory.
5.Entrepreneurial Vision: As they hosted their first guests and saw the positive response, Chesky and
Gebbia began to envision the potential of their idea. They recognized the scalability and impact of
creating a platform that connects travelers with unique lodging experiences.

Necessity became the mother of invention for the Airbnb trio. In 2007, struggling to pay rent in San
Francisco, Chesky and Gebbia decided to rent out air mattresses in their apartment to make ends meet.
This experience sparked the idea for a platform connecting travelers with unique lodging options, a
concept further enhanced by Blecharczyk's technological expertise.

2. Problems faced by the entrepreneur in the initial stages

While the air mattress rental concept sparked a revolution in the hospitality industry, the initial
stages weren't without their hurdles. Here are some of the key challenges faced by the Airbnb
founders:

1. Building Trust: Convincing people to trust strangers with their homes and to trust staying in
strangers' homes was a significant initial barrier. Airbnb had to establish a robust verification
system and focus on building a strong community feel to foster trust and security for both hosts
and guests.

2. Overcoming Aversion to New Ideas: The concept of sharing someone's home was entirely
novel at the time. Airbnb faced resistance from individuals hesitant to embrace this alternative
lodging option, requiring extensive marketing efforts to educate and convince potential users.
3. Securing Funding: Securing initial funding was a major challenge. Traditional investors were
hesitant to back such a disruptive and unproven concept in the established hospitality industry.
The founders got creative, using unconventional methods like selling novelty cereal boxes to
raise capital.

4. Legal and Regulatory Hurdles: As Airbnb's popularity grew, it faced legal challenges and
regulatory hurdles in various countries and cities. These challenges stemmed from concerns
about safety, zoning regulations, and competition with traditional hotels. The founders had to
navigate these complexities and work with lawmakers to create regulatory frameworks that
accommodated their business model.

5. Maintaining Quality and Consistency: As the platform grew rapidly, ensuring consistent
quality of listings and experiences across a diverse range of hosts and locations became a
significant challenge. Airbnb had to develop systems to maintain quality standards and ensure
guests received the level of service they expected.

6.Competition: Airbnb faced competition from established players in the hospitality industry,
including hotels and vacation rental agencies. The founders had to differentiate Airbnb from
competitors and convince users to choose their platform over traditional lodging options.

7.Scaling the Platform: Building and scaling the Airbnb platform presented technical
challenges for the founders. They had to develop a user-friendly website and mobile app that
could handle a growing number of listings and users while ensuring a seamless booking
experience.

3.How he/she overcome/tackled the problems

Conquering Challenges: How Airbnb's Founders Bridged the Gap

Building a revolutionary company like Airbnb wasn't a walk in the park. The initial years were
riddled with obstacles that tested the founders' ingenuity and grit. Here's how they tackled some
of the most significant challenges:

1.Building Trust: Establishing trust in a new, disruptive concept was crucial. The founders
implemented a robust verification system with user reviews and background checks, laying the
groundwork for a safe and secure platform. Additionally, they fostered a strong community spirit
through features like profile pictures, bios, and guest reviews, allowing hosts and guests to
connect on a more personal level.
2.Overcoming Novelty Aversion: To overcome the initial resistance towards the unfamiliar
concept, Airbnb took an educational approach. They focused on explaining the benefits of
unique and affordable lodging options for travelers, and the potential for income generation for
hosts. Targeted marketing campaigns showcasing the diverse range of interesting properties and
positive host-guest experiences further helped overcome hesitancy.

3.Securing Funding: Faced with traditional investors' skepticism, the founders got creative and
resourceful. They utilized unconventional fundraising methods like selling novelty cereal boxes,
demonstrating their determination and commitment to their vision. This unconventional
approach also garnered valuable media attention, increasing brand awareness and attracting
potential investors later on.

4.Navigating Legal and Regulatory Hurdles: The founders adopted a proactive approach to
legal and regulatory challenges. They actively engaged with lawmakers and regulators,
explaining the benefits of their business model and proposing solutions that addressed concerns
about safety, zoning, and competition. This collaboration ultimately led to the creation of
regulatory frameworks that allowed Airbnb to operate within various legal and regional contexts.

5.Maintaining Quality and Consistency: To ensure consistent quality across a diverse range of
listings, Airbnb implemented a multi-pronged approach. They established clear guidelines and
expectations for hosts, coupled with a review system allowing guests to provide feedback.
Additionally, they created a team of dedicated staff to monitor listings and ensure adherence to
quality standards. This system, constantly evolving, helped maintain a consistent and positive
experience for users.

By tackling these challenges head-on with a blend of innovation, resourcefulness, and

collaboration, the Airbnb founders turned their revolutionary idea into a global phenomenon.
Their journey serves as a valuable reminder that even the most disruptive ideas can succeed with
dedication, perseverance, and the ability to adapt to overcome obstacles.

4. Characteristics of the entrepreneur which made him successful

The success of Airbnb's founders can be attributed to several key characteristics:

1.Visionary Leadership: The founders demonstrated visionary leadership by identifying a niche

market opportunity and envisioning the potential of Airbnb to disrupt the hospitality industry.
They had a clear vision for the company and the determination to pursue it relentlessly.
2.Resilience and Perseverance: In the face of numerous challenges and setbacks, the founders
displayed resilience and perseverance. They remained committed to their vision and were
undeterred by obstacles, continuously iterating on their ideas and strategies to overcome hurdles.

3.Creativity and Innovation: Airbnb's success can be attributed to the founders' creativity and
innovation. They introduced a unique concept that transformed the way people travel and
experience accommodations. Their innovative approach to problem-solving and product
development set Airbnb apart from traditional lodging options.

4.Adaptability and Flexibility: The founders demonstrated adaptability and flexibility in

response to changing market dynamics and evolving consumer preferences. They were quick to
pivot and adjust their strategies based on feedback and data, allowing Airbnb to stay ahead of the
curve.

5.Customer Focus: Airbnb prioritized customer satisfaction and experience, placing a strong
emphasis on providing exceptional service and value to users. The founders listened to feedback
from hosts and guests and continuously sought ways to improve the Airbnb platform to meet
their needs and preferences.

6.Risk-Taking Propensity: The founders exhibited a willingness to take calculated risks and
step outside their comfort zones in pursuit of their goals. They embraced uncertainty and
embraced failure as part of the entrepreneurial journey, learning from their mistakes and using
them as opportunities for growth.

7.Team Building and Collaboration: Airbnb's success was also fueled by the founders' ability
to build a talented and cohesive team. They recruited individuals who shared their passion and
vision for the company and fostered a culture of collaboration, innovation, and inclusivity.

5. How he improved/built the organization

The founders of Airbnb, Brian Chesky, Joe Gebbia, and Nathan Blecharczyk, employed several
strategies to improve and build the organization:

1.Continuous Innovation: Airbnb prioritized innovation by constantly enhancing its platform

and introducing new features to meet the evolving needs of users. They invested in technology
and product development to improve the user experience, streamline processes, and stay ahead of
competitors.

2.Expansion and Growth: The founders focused on expanding Airbnb's presence globally by
entering new markets and diversifying its offerings. They identified key growth opportunities
and invested resources in scaling the business while maintaining a strong focus on quality and
customer satisfaction.

3.Community Building: Airbnb built a strong community of hosts and guests by fostering
connections and creating a sense of belonging. They provided tools and resources to empower
hosts and facilitate communication and collaboration among users, leading to increased
engagement and loyalty.

4.Strategic Partnerships: Airbnb formed strategic partnerships with other businesses,

organizations, and governments to drive growth and expand its reach. These partnerships
allowed Airbnb to access new markets, leverage complementary resources, and enhance its value
proposition to users.

5.Brand Building and Marketing: The founders invested in brand building and marketing
initiatives to raise awareness and attract users to the Airbnb platform. They developed a
distinctive brand identity and launched creative marketing campaigns to differentiate Airbnb
from competitors and position it as a leader in the sharing economy.

6.Customer Experience Focus: Airbnb placed a strong emphasis on delivering exceptional

customer experiences by providing personalized service, addressing customer feedback
promptly, and resolving issues effectively. They implemented customer-centric policies and
initiatives to enhance satisfaction and loyalty among hosts and guests.

7.Diversity and Inclusion: Airbnb promoted diversity and inclusion within the organization and
across its platform by fostering a culture of openness, respect, and acceptance. They
implemented policies and initiatives to promote diversity in hiring, foster inclusivity, and combat
discrimination and bias.

Conclusion:

Airbnb's original mission was to foster a world where everyone could feel a sense of belonging
anywhere they traveled. With the dedication of their loyal employees and hosts, they aimed to
achieve this vision. Over time, Airbnb has evolved. Initially, they sought to unlock distinctive
experiences worldwide. Now, they refer to themselves as "Belong Anywhere," endeavoring to
ensure that wherever customers journey in pursuit of their dreams, they feel welcomed and at
home.
The rise of Airbnb from its modest origins to its present position as a major player in the global
hospitality industry is evidence of the transformational potential of innovation, entrepreneurship,
and a dedication to building community. Millions of individuals all around the world have
benefited from the founders' goal of a place where anybody can belong. It has also completely
changed the tourism business. With a relentless focus on the customer experience, smart
partnerships, and constant innovation, Airbnb has completely changed the way people travel
and discover new places. The fundamental aspect of Airbnb's identity remains to be its objective
of making the world feel like home for all travelers, even as it grows and changes.