Sharing economy
Description of sharing economy
The sharing economy is an activity involving the exchange of goods and services, which is sometimes refereed as platform economy, collaborative consumption or access economy. The sharing economy is expected to experience a sudden rise in the coming years from the $14 billion record in 2014 to $335 billion by 2025 (Creative destruction and the sharing economy: Uber as disruptive innovation, 2017). These figures are based on the sudden growth of the Uber and Airbnb as indicative. Data derived from various research on sharing economy and its growth have demonstrated that vehicles go unused for nearly 95 percent of their lifespan which translates to the assumption that there is greeter supply of rides from different stakeholders in the industry. The sharing economy will form a great part of the global economy in the coming years based on the social, economic, and political factors. The emergence of sharing economy has brought about different challenges for the various business stakeholders (Creative destruction and the sharing economy: Uber as disruptive innovation, 2017). It is believed that the more information that is shared online platform improves the use but can also lead to negative factors such as gender biases. As such, the stakeholders of sharing economy must hold hands and work together towards achieving a common objective of combating bias on their platform. From the various researches on the matter, the conclusion is that for organizations to form monopoly since the costs involved in the switch between sharing economy is very flow. As the sharing economy continues to grow, it is still a victim of its own improvements. Some people allege that the “sharing” is not right while others assume the true spirit of “sharing” in sharing economy.
(I.C. RS 7550)