Airbnb Risk Assessment: Ranking Strategic Threats and Mitigations
Company: Airbnb
Role: Product Manager
Category: Product Design & Strategy
Difficulty: medium
Interview Round: Other
What do you consider the most serious risks to Airbnb's business, and how would you rank them?
```hint Start from the business model
Ask what Airbnb's model depends on to work, then what could break each piece. Commit to a short ranked list instead of naming everything you can think of.
```
### Clarifying Questions
- Should I cover only the core stays marketplace, or also Airbnb's bets beyond stays, such as experiences?
- What time horizon matters here: the next year, or the next five years?
- Do you want risks to the company only, or also risks to guests and hosts, such as safety incidents, that turn into business risk?
- Should I stop at identifying and ranking the risks, or also propose what Airbnb's product teams could do about the top ones?
### What a Strong Answer Covers
- A structure that covers both sides of the marketplace and the outside environment without leaving gaps
- Specific risks tied to how Airbnb makes money, rather than generic business risks
- An explicit ranking by likelihood and impact, separating existential threats from manageable ones
- Concrete mitigations for the top risks and the early signals that would show each one materializing
- Reasoning from public information only, with judgments clearly labeled as the candidate's own
### Follow-up Questions
- If you were the PM on the host team, which of these risks would you work on first, and what would you build?
- How could AI assistants that plan and book trips change Airbnb's position, and how should it respond?
- Which of these risks do you think is overrated, and why?
Overview: A product strategy question for an Airbnb product manager interview that asks the candidate to identify and rank the company's most serious business risks. It tests structured thinking about a two-sided marketplace and its environment, prioritization by likelihood and impact, and turning risks into mitigations and early signals.