[sha_r_roh]

Interesting, the most common narrative in most circles is how OYO is cheating its hotel partners left, right and centre. Basically, the OYO model is quite simple. Small hotels should upgrade their facilities and services to be in line with OYO standards (this upgradation is financed by the hotel owners).

With this new OYO branding, it provides new customers to hotels. Better services would mean more customers and a higher revenue, right? But this ends up killing the hotel's regular supply lines and traditional channels.

The real issue for hotel owners though is that while upfront OYO promises monthly payments higher than their current revenue, this seldom happens. Also apparently OYO is always late in paying dues and adding unsubstantiated penalties. Most news is littered with such examples.

https://inc42.com/buzz/sikkim-hoteliers-protest-against-oyo-...

https://economictimes.indiatimes.com/small-biz/startups/news...

[r_singh]

You're right, that was/is a phase. The FHRAI (federation of hotels and restaurant association of India) complained against some of OYO's business practices in July this year and it made a lot of news (mostly changing policies with regards to commission and also delaying commission) to the Competition Commission of India.

Currently, OYO is making news for 4 reasons:

* Protests from hotels (so called OYOpreneurs)

* OYO founder's buyback funded by debt against shares and Sequoia, Lightspeed exit

* OYO growing a lot and acquiring companies worldwide

* Possibility of OYO being a WeWork in the making