Booking.com: Architecture of Control and Resilience

The article analyzes the transformation of the management model at Booking.com, focusing on the events of 2019 when Glenn Fogel assumed the role of CEO for both the holding company and the operating company. The author contrasts a sensational narrative about the 'execution of the old order' with a cold economic analysis based on the theory of the firm. The text explains the difference between ownership and control, citing the agency problem and the theory of incomplete contracts. This process is interpreted as a transition from the broad autonomy of the Amsterdam office to a centralized management architecture. This change was driven by the pursuit of better brand alignment and the implementation of the Connected Trip strategy, which in practice meant the activation of the owner's residual control rights over a previously independent operational mechanism.