Peer-to-Peer Product Sharing: Implications for Ownership, Usage, and Social Welfare in the Sharing Economy

By S. Benjaafar, Guangwen Kong, Xiang Li, Costas Courcoubetis. Management Sciences, 2019

396 citations recorded by the source corpus.

We describe an equilibrium model of peer-to-peer product sharing, or collaborative consumption, where individuals with varying usage levels make decisions about whether or not to own a homogeneous product. Owners are able to generate income from renting their products to nonowners while nonowners are able to access these products through renting on an as-needed basis. We characterize equilibrium outcomes, including ownership and usage levels, consumer surplus, and social welfare. We compare each outcome in systems with and without collaborative consumption and examine the impact of various problem parameters. Our findings indicate that collaborative consumption can result in either lower or higher ownership and usage levels, with higher ownership and usage levels more likely when the cost of ownership is high. Our findings also indicate that consumers always benefit from collaborative consumption, with individuals who, in the absence of collaborative consumption, are indifferent between owning and not own...

Subfields: Automotive Engineering, Marketing, Strategy and Management

View Paper: https://www.semanticscholar.org/paper/309484479e1e1ec3c80b5aae2b4a914b2e720caa

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Marketing

  1. C. A. Bom
  2. Hidde Jan Lemstra
  3. Nancy M. P. Bocken
  4. Ruth Mugge

In Strategy and Management

  1. Nancy M. P. Bocken

Citations in the corpus