American tech companies have historically struggled in China, due to factors such as a lack of understanding of the market, tough local competition, a government that heavily favors those local competitors, and occasionally, pure overconfidence.
But Airbnb thought it had at least one advantage over its Chinese competitors: while they may have had larger presences within the country, Airbnb already had a stronger portfolio of listings elsewhere in the world. Airbnb decided that in China, it would focus solely on "outbound travel" — that is, Chinese residents looking to vacation abroad — where the company felt its size gave it the upper hand, according to Blecharczyk.saying that outbound travel from Chinese guests had grown more than 700% that year, making China its fastest growing market by that metric.
Airbnb also predicted, based on its prior experience in other countries, that "Chinese travelers would go abroad, have good experiences, come home, and again, the guests would become hosts," he said.
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