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Airbnb presents a growing threat to hotel industry

from By Archita Datta Majumdar

The hotel industry can no longer ignore the Airbnb phenomenon and write it off as a wannabe competitor. One simple reason is that Airbnb has not disappeared from the scene as yet another new fad that bites the dust. Another more important one is that Airbnb's popularity and sales both seem to be rising too fast for comfort. In a recent faceoff, New York hotels and New York's attorney general called listings on the site as "illegal" hotels, while Airbnb called the officials' efforts a "government-sponsored fishing expedition." more

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