Airbnb takes a softly-softly approach in China where Uber rushed in and crashed
San Francisco/Hong Kong — When Uber retreated from China this year, it seemed like a bellwether for US companies trying to push their way into the country. The world’s most valuable venture-backed start-up lost at least $2bn in the world’s most populous nation in two years trying to build market share with free rides, say insiders. In the end it sold its Chinese operations to local leader Didi Chuxing. Now, America’s second-most-valuable start-up is betting it can do better. Where Uber rushed in, Airbnb has taken its time building relationships with China’s industry leaders and government officials. A 2014 partnership with Alibaba made it easy for Chinese users to pay for Airbnb rentals with Alipay, the local equivalent of PayPal. A partnership deal with Tencent, finalised in February, got Airbnb built into WeChat, China’s dominant messaging app. This year, Airbnb teamed up with the governments of four major Chinese cities, including Shanghai and tech hub Shenzhen, for tourism prom...
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