We only have 2-3 days in Zurich. We like places that have ethnic flavor. Where to stay?
Are you sure you want to spend 3 days in Zürich, instead of in nearby Luzern?
If Zürich, and by "ethnic" you mean local and Swiss, not a chain hotel, try the Altstadt (trendy, arty) or Adler (friendly and well-priced) in the Altstadt, or the Kindli (traditional Swiss hospitality) nearer the Bahnhof.
Zurich is not where you want to spend your Swiss vacation. It's not bad - but you can do SOOO much better. I agree, Lucerne is a good recommendation.