International Institute of Inspiration Economy
Question
Asked 21 May 2014
What are the main challenges for a business to adopt a 'share economy' strategy?
I'm looking in to business drivers and challenges of the share economy, to get an understanding of how businesses can adopt a share economy whilst ensuring it remains commercially viable. What are the main challenges to adopting a share economy strategy? What strategy will the government take to ensure the industry is appropriately taxed and regulated?
Most recent answer
Hi Lydia.. I just published a paper on this
Hope this would be helpful
All Answers (11)
National University of La Plata
I understand that the best way, is that companies are motivated to sincerar which is the cost structure and economic performance.
The State could protect these businesses that choose to earn less and deliver more, including employees (earnings) and consumers (best prices).
1 Recommendation
National University of La Plata
This type of undertaking socially and / or cooperative committed, help significantly to local development. Dan more jobs and better face the hostilities of the global context.
2 Recommendations
Leibniz Centre for Agricultural Landscape Research
Hi Lydia,
I would suggest two issues: One is about insurance and potential moral hazard: If the user of a product is not the owner there may be less incentives to care about the product (car, house, whatever) and hence it is more difficult / more costly to insure the product.
Second challenge is possibly about incentivising benefits of investments in the shared good. For example investments the owner of a shared good may not profit from efficency gains resulting from investments (e.g. in insulation or fuel efficient cars) but only the user is profiting from this. If owner and user fals apart, there may be underinvestment in efficient products.
This is only about the challenges because you raised the question - the potential benefits are certainly enourmous.
Best regards
Klaus
WRW Services LLP
In Energo - Cybernetic Strategy, the instinct of ecological adaptions and survival techniques includes styles where the "Strike where the Competition is unheard of ...", the Blue Ocean Strategy in Marketing as suggests similar approach... Please see the enclosed..
University of Management and Technology
Companies are motivated to sincerer which is the cost structure and economic performance, but they cannot go for the share economy strategy because so many factor are there that does not allow the organization to have this sort of strategy.
Incentive's benefits of investments in the shared good, the organization that is investing may not be gaining as the desired outcome.
2 Recommendations
University of Malta
I think that there are various incentives (and business drivers) that governments can implement in order to support the country's economic growth and competitiveness.
For instance, the government can introduce work policies and practices to entice more women / disabled people to enter the job market. Other measure may include child care facilities, continuous professional development of workers, courses and training for unemployed individuals etc...
You may have a look at this document for more guidance:
Birkbeck, University of London
Thanks for your responses - it's highly appreciated.
No doubt there are lots of reasons why businesses (and ultimately consumers) should be driving and encouraging forms of consuming more collaboratively, such as through sharing.
Will the government tax this behaviour in the near future, or only tax if individuals are earning substantial revenues from it? Or will this be perceived as another barrier to entry and discourage budding entrepreneurs from launch new businesses?
If we are not looking at taxing this industry, what form of incentive could evolve, and how could these be fairly deployed across large corporates and start-up entrepreneurs competing in the same market?
University of Jordan
One of the challenges to be consider is the big data and questioning its validity and reliability.
1 Recommendation
Tarbiat Modares University
Dear Lydia,
sharing economy and circular economy are distinct but closely liked concepts and the overlaps provide useful resources for researchers who work on both sides.
Interesting article on sharing economy (Link attached)
Please check out Ellen MacArthur Foundation publications on circular economy (Link attached).
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