Abstract
There have been numerous discussions on
the sharing economy to identify the contributing factors of its success. The
focuses are more on the demand side, the user behaviours, or the peculiar
nature of platform business which is closely associated with this new mode of
business operation. This article tries to work on the supply and operational
side of the business, with an analytical framework covering four key aspects
related to the assets being shared. Those are the value, ownership, geographical
distribution of the assets and whether the assets are genuinely being shared.
Four types of sharing businesses have been analyzed, namely, bikes,
automobiles, apartments, office spaces. The outcome of the analysis is to
predict the possible success or failure of any existing or new businesses in
this new economic landscape. Moreover, the results of the analysis indicate
that, from the supply side perspective, sharing is in fact not the key success
factor, while asset ownership and its corresponding high or low maintenance
cost are the more relevant considerations. The hype generated around this
concept of sharing economy may have overshadowed the essence of this business
model.
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IJBMS by IPRPD is licensed under a Creative Commons Attribution 4.0 International License.