Kozminski Techblog

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Airbnb has revolutionized traveling by offering short-term rental accommodations. It gives an opportunity to homeowners to monetize their properties and gives travelers a large range of accommodation options, from cheap to expensive. While it has undoubtedly changed the accommodation system, it has brought serious issues for locals

As Airbnb has expanded, studies show that the platform is deepening the lack and affordability of long-term housing in many cities around the world. Basically, this platform intensifies the lack of housing and inflates rents, especially in cities like San Francisco, New York, and Barcelona, places with an already constrained housing supply.

A recent paper published by researchers from UCLA and the University of Southern California concluded that on a national basis, a 10% increase in Airbnb listings leads to a 0.42% increase in rents and a 0.76% increase in house prices. Based on a report conducted by a researcher at McGill University, up to 13,500 long-term housing units in New York City have been removed from the rental market due to Airbnb. That reduction in the city’s housing means rents have gone up. The increase has been around $380 per year, and some neighborhoods in Manhattan saw an increase of $700 or more.

It is relevant to notice that this phenomenon affects mainly lower and middle-income families since with the inflation of housing, many of them struggle to pay their rent and some of them are even invited out of their homes and struggle to find a new place to live in.

Another issue associated is gentrification and neighborhood displacement, as some areas have been transformed from cheap neighborhoods into trendy tourist destinations. For instance, in my home city, Lisbon, local communities have been disrupted, as residents are priced out by investors who buy properties as a means to become Airbnb hosts. This contributes to the erosion of cultural identity and social cohesion in many urban areas.

Airbnb is not going to disappear for good anytime soon so taking that into account, some measures should be adopted by the policymakers such as:

–Limiting the number of days a property can be rented out per year to ensure it doesn’t replace long-term housing.

-Cities must invest in the supply of affordable housing.

-Enforcing the registration of listings, alongside compliance with safety and tax policies.

While Airbnb has brought a new way of traveling, its impact on local housing markets cannot be ignored. Airbnb contributes to limited housing availability, higher rent prices, and the gentrification of areas. Cities must apply some measures so that the growth of this platform does not affect residents

AI used: you.com

Image from: https://rownosc.eu/dlaczego-airbnb-szkodzi-nam-wszystkim/   

Sources: https://www.sciencedirect.com/science/article/abs/pii/S2211973623001204 https://granicus.com/blog/are-short-term-vacation-rentals-contributing-to-the-housing-crisis/ https://www.metro.us/airbnb-took-away-up-to-13500-units-from-nyc-housing-market-report/ https://www.purdue.edu/research/features/stories/short-term-rentals-make-housing-less-affordable/

https://www.catalystplanet.com/travel-and-social-action-stories/a-two-way-street-the-impact-of-airbnb-on-local-communities

Reading Time: 3 minutes

Social media is not what it used to be. It has been transformed from a platform where personal connections are dominated to a space of advertising and influencer marketing. This transition has received critical reflections about the authenticity of online social interactions. Naturally, there are still many who use social media to connect with people. However, the priority is increasing profit over genuine connections.

The Commercialization of Social Media

In the beginning, social media platforms such as MySpace and Facebook were just platforms for friends to connect and share experiences and thoughts. However, as they grew, they discovered the potential for advertising. Nowadays, platforms like Instagram, TikTok, YouTube, and Facebook have become mainly focused on monetization. According to a recent article in Forbes, businesses are seeking out social media as a means to reach their target audiences and drive sales. According to a study conducted by MediaRadar, social media ad spending exceed $268 billion in 2023, reflecting a dramatic shift towards monetization.

This change of priority lets likes, shares, and comments, basically, the engagement metrics, be more valuable than meaningful interactions. Users are daily spammed with ads on their social media,  reducing the meaningful experience of commercial transactions.

According to a study by Pernod Picard, just 23% of friends on Facebook are considered genuine and true connections. The abundance of ads has become overwhelming. It gets harder to tell the difference between real postings and ads when users browse through feeds full of sponsored content. Because users feel the  pressure to interact with branded content rather than with friends or family, this saturation lowers the quality of interactions.

Basically, the purpose of social media to connect people has been undermined by this commercialization. Even though for instance, facebook has added tools like Groups and Instagram added Live sessions to encourage community participation, the dimenson of this initiatives can not come across as in comparison to the constant ads.

These days, me as a user I even wonder if i have even checked in when i browse trough X, Instagram, or TikTok feeds since everything looks strange as I passively consume content from users i have never followed. The feed is filled with suggested posts, tweets.

The Illusion of Connection

However, it’s relevant to understand that even with the social part of these platforms, many users experience feelings of isolation. According to a study led by the page, the mother shp, social media frequently creates relationships that are superficial even if it might help people interact. Despite having hundreds of “friends”, users usually do not have the kind of actual relationships like in real life. Algorithms that favor commercial content over genuine communications make this situation worse by encouraging people to consume rather than interact.

The Influence of Influencer Culture 

Actually, with the increase in influencer marketing socialization has decreased. Brands use influencers to promote their products/ services leaving no space for the distinction between advertising and personal recommendations, since influencers always find a way of introducing the situation to their lives to meet business narratives, this strategy can increase purchases but decrease genuine interactions.

The Negative Effects of Social Media

In addition to the increase of commercialization, social media has caused negative cultural repercussions. Users who use these networks, often came trough problems like mental health issues, and cyberbullying. The culture of constant comparison that is promoted by this online plataforms can lead to feelings of inadequacy and loneliness.

In conclusion, despite social media’s capacity to bring people together across the world, its present direction is more a place of influencer marketing and advertising than genuine connections. Bringing back the original goal of social media is a challenge as users come across a world overflowing with commercial messages. Brands need to understand that establishing authenticity and trust is crucial to long-term success. The goal of social media in the future should be to provide areas where genuine dialogue exists in the middle of commercialization.

Sources: 

https://www.apu.apus.edu/area-of-study/business-and-management/resources/how-social-media-sites-affect-society/?t&utm_source=perplexity

https://www.forbes.com/councils/forbesbusinesscouncil/2023/01/19/how-social-media-is-changing-business-strategies/

https://www.linkedin.com/pulse/social-media-loss-connection-bhargav-patel?t&utm_source=perplexity

https://www.mintel.com/press-centre/personal-connections-on-social-media-influence-consumer-purchase-mintel-research-reveals/?t&utm_source=perplexity

Social media isn’t social anymore.

Image from: https://medium.com/edtech-trends/infographic-social-media-in-the-news-1dc0e1c361e

AI Used: Perplexity

Reading Time: 3 minutes

The digital evolution has brought a different way of conducting financial transactions. With the strong growth in digital payments, some believe that physical currency is going to disappear eventually. In spite of this increase, physical cash is still crucial to the global economy .

The Rise of Digital Payments

Digital payment methods have been growing over the past years, and the Covid-19 Pandemic accelerated this process. The use of technologies like mobile wallets and contactless payments have made financial transactions more effective and convenient. The COVID-19 pandemic further accelerated this trend, with many opting for contactless payment methods to minimize physical contact.

For instance, the article “Shift from physical cash to digital currency” from Satchel platform, reflects on the declining use of physical cash driven by technological advancements, changing consumer preferences, and the rise of contactless transactions during the COVID-19 pandemic.

Advantages of Digital Payments

• Convenience: Transactions are completed quickly and easily from anywhere. There is no longer a need to carry cash since is possible to make purchases, pay bills, and transfer money with simply a smartphone or some watches.
• Efficiency: Since digital transactions are faster than cash ones, customers and companies can benefit from shorter checkout lines and quicker payment processing.
• Security: Reduces the risk of losing physical cash or theft.
• Tracking and Management: Digital transactions leave a clear record, making it easier for companies to track spending, manage budgets, and prepare financial reports.

Survival of Physical Cash

While digital payments are rising, physical cash remains part of the economy for several factors:

1. Inclusion and Accessibility: Physical cash is accessible to everyone, even for those who do not have access to banking services or digital technology. The World Bank estimates that 1.7 billion individuals worldwide still lack access to official banking services.
2. Cash only: Furthermore, there are situation in which only cash is accepted as a payment method, such as with street vendors, local markets and small business or eventually if the system somehow is out of service.
3. Privacy and Security: Physical cash offers a different level of privacy compared to digital payments. While digital transactions leave a record to track, cash transactions are anonymous, providing protection against data and identity theft. This aspect of privacy is especially relevant for those who are concerned about the surveillance and data privacy practices associated with digital payments. On the other hand, when it comes to security carrying large amounts of cash can be risky.
4. Resilience and Reliability: In times of crisis such as natural disasters, digital payments systems are unavailable. Physical cash will be needed as a backup during emergencies. Also, the ability to transact in cash ensures continuity and resilience in the face of technological failures.
5. Fees associated: Cash transactions don´t involve fees, making it a cost-effective option for both consumers and small businesses.

An article from Finance Monthly provides some reasons why cash is still valuable. It describes that cash is necessary in situations where card payments aren’t accepted, like street vendors, small businesses or even when digital systems are failing. It also focusses on the role of cash in terms of privacy and preventing overspending, since cash transactions aren’t tracked and make spending easier.

Balance Between Digital and Physical

In fact digital payments and physical cash can coexist, each meeting different preferences and needs. Each method has its unique advantages and challenges, a balanced approach would be the ideal scenario. Ensuring that everyone has access to their preferred method.

Conclusion

In conclusion, while digital payments are becoming more popular, physical cash is not doing to disappear completely. The future of payments is finding a balanced approach with the strengths of both digital and physical payment methods.

Generative AI used: copilot

Image from: https://credits.com/en/news/614-from-cash-to-convenience-embracing-the-digital-revolution.html

Sources:

https://www.finance-monthly.com/2019/12/5-reasons-why-we-still-need-cash/

https://www.ecb.europa.eu/press/economic-bulletin/articles/2024/html/ecb.ebart202402_02~d821c613a7.en.html

https://intheblack.cpaaustralia.com.au/business-and-finance/6-reasons-why-still-need-cash

https://satchel.eu/blog/from-cash-to-digital-money/https://www.spglobal.com/ratings/en/research/articles/210614-the-future-of-banking-digital-wallets-will-replace-cash-in-pockets-11995155

https://www.cnbc.com/2021/08/17/digital-payments-soared-during-the-pandemic-and-are-here-to-stay.html

Reading Time: 2 minutes

Technological tools have brought a new view to the education system. They provide access to a wide amount of information and offer customized learning opportunities like interactive boards, digital textbooks, and online learning platforms. In fact, the majority of educational institutes have already started to utilize them within their teaching methods.
However, it’s crucial to understand to what extent we rely on them and how they can impact students in their learning process and growth.

According to a recent study that was published in Advanced Science by Dan Wu, too much screen time can have a negative effect on cognitive development, especially in young children. Constant exposure to digital devices can impact creativity, critical thinking abilities, and concentration.

The principal concern to this topic is that students lose the capacity to critically evaluate information, challenge presumptions, and develop their own opinions as they grow accustomed to passively consuming it online. Some other concerns are the excessive screen time that can lead to health issues, including eye strain, sleep disturbances and the unequal access to digital devices between socioeconomic groups.

Furthermore, by engaging too much with digital devices in school there is a risk of losing essential social skills like teamwork, empathy and effective communication that are developed directly through interaction between people such as in teamwork.

Technology should be used strategically as a useful teaching tool, but it shouldn’t be viewed as the main way of teaching.
Before introducing technology into schools, teachers should carefully consider the learning methods and the needs of their students. Students should have the skills to evaluate information critically, use technology responsibly, and protect themselves online.

In conclusion, an effective methodology would be a perfect balance between technology and traditional teaching methods. This way we can create a more engaging learning environment for all students.

Generative AI used: Gemini

Sources:

Image- https://www.linkedin.com/pulse/balancing-educational-technology-pedagogy-key-effective-daniel-record-e2ecc

https://www.sciencedirect.com/science/article/pii/S0885201423000242

https://blog.teamsatchel.com/technology-in-education

https://aithor.com/essay-examples/the-role-of-technology-in-transforming-the-education-system

https://www.richtmann.org/journal/index.php/jesr/article/download/10526/10155/40909

New study reveals surprising impact of screen time on the developing brain

Reading Time: 3 minutes

Remote Working is a concept that came to reshape the world of work. The future isn’t just about not working in an office, it’s about working from anywhere in the world.

Remote working has been around for quite some time, but the Covid-19 pandemic has deepened this system. Now that we are out of the global pandemic, many people have returned to work in the office. However, some employers believe that it is easier and cheaper for their employees to work remotely.

According to a 2022 study from Owl Labs and Global Workplace Analytics, 62% of employees feel more productive when working remotely, and 52% said they’d trade a slight reduction in pay for the option to work remotely. These numbers show that employees appreciate the good balance between work and personal life.

Most certainly, remote work is likely to continue to be a significant part of employment in the following years. Here are a few factors why:

• Offers more flexibility and work-life balance to employees and these aspects are known to increase productivity and job satisfaction.
• Leads to cost savings for both parties, for employers, there would be no need to pay rent on office space, supplies, and other associated costs. This allows companies to invest in other areas. On the other side, employees can avoid commuting costs, office clothing, and eating out so often.
• Remote work allows people to work from anywhere they want, which can be particularly interesting to those who want to travel all the time.
• Organizations are not geographically bound, so they benefit from a global talent pool, bringing them access to different perspectives, attitudes, and ideas in the company. Giving them access to talents they would not get in traditional roles.
• Remote work reduces the need for commuting, resulting in lower carbon emissions and less traffic congestion. All of these aspects bring environmental benefits.

However, it is important to note that remote work has drawbacks and also it may not be suitable for all individuals or organizations:

• Less human interaction can lead to feelings of loneliness. Missing the connections between colleagues, sometimes these interactions motivated the employees to perform better. Over time, isolation can affect mental health.
• The separation between work and personal life can be complicated to manage in a single place. Employees might find it challenging to “switch off,” you may spend more time working and reduce the time for your personal life.
• By working from home, you move less and avoid physical activity. Limited movement can affect your health and well-being.  
• Different distractions in remote workplaces can divert an employee’s attention. A lack of communication with a supervisor or colleagues can tempt employees with unproductive habits like taking excessive breaks and spending too much time on social media. These habits can impede people from performing well.
• The delayed response wastes time and has severe implications for projects that require a deadline.
• Another point to take into account is that not all job positions are effective when working from home, since a few of them expect face to face presence.

Remote work has become a part of the modern work culture. It’s about breaking the traditional chains and trusting the power of results. Technology is evolving, and online tools are becoming more sophisticated than ever before. Taking all the aspects into consideration, a hybrid model that combines remote and in-person work might be the best option for the future.

Sources:

https://www.cato.org/commentary/remote-work-here-stay-mostly-better

https://hiringandempowering.com/the-rise-of-remote-work-is-it-here-to-stay/

https://www.forbes.com/sites/bryanrobinson/2020/05/04/how-remote-working-is-reshaping-a-future-new-world-of-work/

https://hbr.org/2022/03/is-remote-work-actually-better-for-the-environment

https://uk.indeed.com/career-advice/career-development/disadvantages-of-remote-working

Image: https://www.linkedin.com/pulse/how-make-remote-working-work-your-team-george-marrash/

Generative AI used – ChatGPT