Main differences in strategic decisions between sharing economy platforms and collaborative consumption platforms

Abstract

Literature on sharing economy is still very limited and lacks clear boundaries to which businesses should and should not be included in its sphere. The present study defines the differences and similarities between the business models of pure sharing economy platforms, such as Turo, and collaborative consumption platforms, such as DriveNow, as both are frequently included in the sharing economy sphere. Using the business model canvas framework to compare each of the nine elements that constitute both business models, results show that the customer interface is the only similarity between the two business models while the value proposition, infrastructure management and financial aspects differ significantly between sharing economy and collaborative consumption platforms. Based on these results, it is clear that pure sharing economy platforms and collaborative consumption platforms should not be treated indifferently as part of the sharing economy sphere as generalizations would lead to wrong conclusions based on incorrect assumptions.