Earlier quoted context omitted.
Who cares if they get banned from a fraudulent business? Why would anyone want to continue doing business with a company if they treat you this way? When I'm at the point of doing a chargeback, it's a "burn bridges" move and I'm not going to be doing business with the company anymore, regardless of whether they ban me.
In the modern internet world, there's very often little/no choice of services. Initially there is competition; one gets an edge; everybody flocks to that service; the other services wither and die. So the idea that "I can just take my business elsewhere" is maybe a dying notion, in this modern economy. They're not brick-and-mortar stores where you can just walk down the street to another one.
Hotels are brick-and-mortar, and there are a lot of them. If one treats you badly you can (sometimes literally) walk down the street and do business at another one. The travel industry is a particularly bad example of little/no choice since there is so much competition, including online.