Literature & Language Essay: Sharing Economy

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Sharing Economy
Introduction
The advancement in human civilization and more so with the integration of technology has resulted in the emergence of a unique phenomenon known as the sharing economy. The term refers “to the practices of sharing, exchange or rental of goods and services to others through information technology without the transfer of ownership” (Taeihagh 3). The primary goal of this system to elevate efficiency and effectiveness in which case there is an enhanced rate of utilization of products (both goods and services) and reduced transaction costs. Consequently, the transformation it has brought to the market concerning how products are provided has been immense. The diversity through which the idea can be applied across a range of sectors proves to be to demonstrate its underlying potential. An example is Airbnb, which is in the tourism and hospitality industry, and Mobike, which is in the mobility and logistics sector. Further, the sharing economy is apparent in other sectors such as financial services, goods, and equipment, food, and dining as well as labor and service platforms. The sharing economy continues to have a major and formidable continuity
Literature Review
The sharing economy idea is one that is popular among companies and academic researchers and even better, it has gained much-needed support from the market and the general public. Görög (177) asserts that the sharing economy grew in popularity after the 2007-2008 financial crisis when a significant number of individuals experienced financial difficulties compelling them to look for the alternative value of ownership and more importantly re-evaluate their consumption patterns. The financial recession had led to massive job losses meaning that individuals needed to search for alternative job opportunities. The rise in the sharing economy can be explained through different approaches: sociological approach, economics approach, and management theories. In the sociological spectrum, consumers are becoming more conscious of their responsibilities in contributing to ecological sustainability (Curtis and Lehner 7). Lately, the call for better environmental conservation measures has taken the greater course and people are convinced that in sharing the available resources they can reduce their ecological footprint. On the other hand, social commerce is predicated upon the peer-to-peer interactions that involve the use of social media. In this case, social media users share their experiences in using these IT platforms. Consequently, more are enticed to using these services as this influence motivates their purchasing decisions.
The economics behind this position is closely linked to the positivity that innovation cultivates and further, the competition that ensues. The articulation of the prevailing innovative culture guarantees that most of the transactions are cheaper in comparison to the conventional manner of conducting businesses. Consumers are rational meaning that they will seek the most returns concerning goods and services relative to their limited financial capabilities (Victor et al. 156). To this end, customers are drawn to products that save...