The Sharing Economy, Why People Participate For Collaborative Consumption

Today’s on-line travel market is succeeding because the companies are using a more software-centric, online business model termed “E-commerce.” This has become the popular avenue for businesses as it mirrors the ideas of mobility. The sheer amount of data available, coupled with the advanced operating systems and social media platforms, have created new possibilities for E-commerce organizations. The infrastructure of E-commerce has expanded into platforms such as peer-to-peer networking, crowd-sourcing, social websites, and mobile devices and media. E-commerce trends are findings ways to incorporate every aspect of our daily lives into an online package associated with our everyday needs (Fishbein, 2013).

Ciccone, Alicia. "The Sharing Economy." The Huffington Post. TheHuffingtonPost.com, 05 Sept. 2012. Web. 01 July 2013. http://www.huffingtonpost.com/2012/09/05/the-sh

The sharing economy has its perks however also its inconveniences. Mary Dejevsky is the writer of “Uber and the “sharing economy” are leaps into the past, not the future”, and in the text she speaks on the downside of the sharing economy. “There are questions, too, about quality of life and fairness. What recourse do you have if you are a tenant or home-owner disturbed by anti-social short-stayers? If you are a neighbor woken by driveway customers slamming their doors at 6am? If pollution is increased by the many more cars plying for hire? If wages are further depressed by casualization?”, Dejevsky lists various of problems that people face or could face now that sharing economy is becoming a global thing. All the things she mentions are pretty

Additionally, AskforTask practices the idea of collaborative consumption, also identified as a sharing economy. The notion emphasises

As people are finding it harder to land jobs straight out of college, we are beginning to see a dip in ownership and a rise in collaborative consumption, the communal sharing of goods and services. Collaborative consumption is essentially an extravagant word for renting, and as young people are finding life to be more expensive than they once thought, renting seems to be the only option for many urban Americans.(HOOK) Collaborative consumption has been on the rise ever since the introduction of the World Wide Web when innovative companies such as Napster have stepped into the limelight and revolutionized the way we lived our lives. Rather than having to harry pounds of CD’s and cassette tapes, one could quickly download their favorite songs

The online marketing today has become an integral part of people’s lives. There people can buy digital products or services from a seller through companies such as Uber, Lyft, Amazon, E-bay, or Airbnb, This development in the online environment calls for new laws to regulate them. The laws reflect the needs, represent solutions to problems that people have noticed in their daily activities, and influence the society. They created within a society will work to develop it, to bring order in it, and to protect its citizens. Along with Uber and Lyft , Airbnb activities were the target of complaints by Chicago residents. In the article “Chicago May Regulate Airbnb,” by John Byrne, the author presents a huge debate about Airbnb regulation. John Byrne

Market: The revolutionary concept certainly provides an alternative to public transport. Furthermore the car sharing concept is really useful for the public in a overcrowded city with limited parking & expensive parking fees. This is clearly not an untouched segment because there are other 2 competitors operating.

The recently coined term ‘collaborative economy’ refers to the use of intermediary web platforms to connect product and service seekers with providers, often using matching algorithms or a reputation system of ratings and reviews. The ‘gig economy’ refers specifically to the intermediaries used to exchange services for monetary compensation, excluding the sale of products or any non-monetary exchange of services. The use of matching algorithms and reputation systems enables these platforms to reach and connect broad audiences on a large scale.

Uber, an application that connects ride-hailing users with drivers, and Airbnb, an online lodging platform that derives its name from bed and breakfasts, have practically become synonymous with collaborative consumption. Companies compete to become the next “Uber of” an industry. There is an “Uber of flowers” that delivers bouquets, an “Uber of lawn care” that encourages lawnmower sharing, and even an “Uber of medical marijuana” (Entis, 2014). The analogy is precarious considering the variations between these companies, but the basic premise of the sharing

The concept of sharing has brought the economy to a whole different level. This new emerged market is creating businesses out of things that have never before been used. For example, renting out your home, car, driveway or even a room in your house for a dog penthouse known as DogVacay. This is not said to be a trend, this is a new market and is gaining the momentum it is because people are looking at it for economic, environmental and lifestyle reasons. Frederic Larson, a 63 year old photographer, teaches at the Academy of Art University in Hawaii uses the sharing economy to generate extra revenue. Renting out his home on Airbnb for $100/night leaving himself with one room to stay in, and he uses his Prius four nights a week for the ride-sharing service Lyft and is able to generate an extra $100/night. This is not only something for people to make their lives easier and live a better life in crowded areas, but now people are able to generate

RentMyCar’s mission is to provide high-quality, low-cost, hassle free car rentals to everyone. The peer-to-peer (P2P) business model adopted by RentMyCar provides the firm a competitive advantage over other car rental companies. However, it is important, that RentMyCar not only conveys accurately the company’s intention, but also in a way that is meaningful to every stakeholder. Thus RentMyCar will make this vision make accessible by separating the movement into three major steps: launch, scale, and expand. During the launch phase RentMyCar will build and leverage strategic partnerships to quickly generate brand and credibility. RentMyCar will acquire initial customers by propagating the brand via these partners, however the launch phase will be restricted to the tristate area New York, Massachusetts and Connecticut. During the scale phase, RentMyCar will then leverage social media and digital marketing to generate leads for new customers and manage complex customer relationships across a variety of channels; both digital and traditional. By segmenting existing customer groups based on newly discovered needs and buying patterns RentMyCar will maximize its profits and revenues. Additionally, RentMyCar will also scale its operations to other states on the east coast. RentMyCar will then achieve economies of scale by rolling its service to other states of the country while focusing on efficiency of its operations.

Welcome to the sharing economy where you can have everything, but own nothing. It may sound like a riddle, but the developing industry is built on a single fundamental value: trust. As soon as people are able to walk and talk, they are faced with decisions regarding trust. A child shares toys with another child trusting it will be returned in the same condition. A teenager shares secrets with a friend, trusting it will be kept a secret. Adults are riding in cars with strangers trusting they will make it safely to their destination. The sharing economy allows individuals to “[buy or sell] usually temporary access” to a variety of goods and services through the use of technology (Merriam-Webster). Individuals and corporations are sharing anything they can market: their cars, homes, skill sets, wifi, and more. These changes in traditional consumption spurred by the sharing economy create opportunities for innovation and employment, but the growth has resulted in disruption of traditional businesses and created gaps in insurance. As wholesale insurers attempt to bridge this gap and mitigate disruption, they will be faced with threats of high liability exposures and complex claims. However, successfully bridging the gap will produce possibilities for new coverages, programs, and customers.

Since it surged onto the marketplace in 2012, Uber has become the most recognizable alternative to a traditional taxi cab service and currently operates in 633 cities worldwide. Uber operates as a private, online network that utilizes a smartphone app to manage all of its ride-sharing business functions. Unlike a traditional taxi service relying on street-hailing and cash payment, ride-hailing and payment are all managed from within the mobile app, essentially making Uber a car-for-hire service relying on technology for dispatch and transaction management. Additionally, drivers are not required to have a special license to operate; they use a personal vehicle to offer discounted fares on rides. As a result of Uber’s innovative, nontraditional business model, there are ethical implications to consider, ranging from creating unfair competition to inadequately background scanning drivers.

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Technology has altered modern day life in many ways, especially in the workplace. The invention of computers, the miniaturization of electronics and the development of wireless communication have all altered the business world. Business communication, in particular, has seen some of the greatest advancements due to technological developments. The role of technology comes into place with Sharing Economy because majority of the platforms are accessible online or through applications on the smartphone. The Sharing Economy only exists when people are willing to share with one another therefore allowing the communication through technology. The Sharing Economy is one of the most fascinating, powerful and yet vulnerable economic business models out there today.