What Is The Sharing Economy???

Airbnb, Uber, and VEBO/Homeaway have taken the world by storm, and have driven the rise of the sharing economy. But what is the sharing economy?

The sharing economy is expected to grow in excess of $300 billion by 2025.

So what is the sharing economy? Where did it come from, and where is it going?

First, you have the real sharing economy. This is sharing in its simplest form, such as food between a family or household products between flatmates. Wikipedia, for instance, came about as a platform where users could voluntarily contribute and share knowledge.

Secondly, you have gift-giving. You share a product or service—like a birthday cake—with the expectation that others will reciprocate in the future. This concept grew out of the early days of the internet and the open-source movement, where programmers would make software and coding freely available.

Napster, the early online streaming service, allowed users to upload their own music, in return for accessing other people’s music.

Thirdly, some say we the phony-sharing economy, which best encapsulates today’s sharing economy. This is the incorporation and monetization of the informal economy—small, unregulated transactions like street food, taxis, or anything that is seen as off the books, but we do live in America and the land of free trade. They sound like the Democrat Party.

In this sense, many believe the term ‘sharing economy’ to have been misappropriated.

Christoph Lutz, associate professor of communication and culture at BI Norwegian Business School says the two most prominent sharing platforms—Airbnb and Uber—are very commercial and have very little to do with actual sharing in the sense of solidarity and community,”, but I disagree. The Airbnb and Uber mission statement is to have people enjoy the local community and Uber, Airbnb and VRBO will take you on that journey.

Technology has been the biggest driver behind the sharing economy’s growth.

With the new managing and productivity apps, you can manage your properties or call for a taxi very easily and in real-time. Do not have to wait for a dial-up internet connection or wait and go to the bank for cash. All the necessary tools to do things are instant on your smartphone.

We live in an instant world.

A lot of people say there is a waste with the sharing economy, but people want convenience and instant gratification. People are educated and the government promotes and pays for higher education for people to enjoy. Businesses are created to make money and provide a product or service to better people. I think the sharing economy is here to stay and welcome new disruptions in the future.

Thanks for reading, Dave Rigney david@davidrigney.com

Source: businessbecause.com