What is Sharing Economy?
It is the month's end and you are planning to go to a hill station this weekend. But it is pretty far from the place you stay. So definitely, you would travel with your friends together to reduce the expenses. And this is what we call the "sharing economy" in simple terms.
Sharing economy is a form of economic system where individuals or groups share assets in collaboration. This collaboration forms a network that enables converting assets into services. It is not just used in informal and friendly settings but also in different corporate ventures and businesses, especially startups. With the advent of technological development, the sharing economy has become a significant part of digital services. That said, its rapid implementation so far is due to the benefits that it possesses. At both a micro and macro level, the sharing economy has many direct impacts.
Benefits of participating in sharing economy:
1. Your contribution towards green, clean world
The need of the hour is to address global warming and climate change (Yes! Climate change is real!!!).
Our contribution to greenhouse gases only increases every day with our increasing demands. By resorting to the sharing economy, we would not only be able to fulfill our needs cost-effectively, but we would also be contributing to the collective good.
One of the highest contributors to carbon footprint is transportation; switching to sustainable services would help cut down one’s carbon footprint. Many platforms make such benefits possible, like Yulu and Rapido.
Another means could be sharing the ride with a friend (make sure you are wearing helmets). Walking for smaller distances would keep you fit as well. So, the next time we step out, instead of spending a lot of money on transportation (a trip to a petrol bunk is costlier than a date at a five-star hotel), we can instead use sustainable methods available and do our bit in contributing to society
2. Sustainability & saving money is cool, but how about a profit?
As discussed above, through a consumerist lens, the sharing economy promotes sustainable development. By becoming a producer or stakeholder, one can directly make a change and reap the benefits. Yes, you heard it right, a chance to earn some pocket money.
Rental platforms like Airbnb enable peer-to-peer interaction and facilitate the movement of goods on a need basis. Moreover, anyone can start a rental marketplace with minimal investments. The whole supply and demand chain gets taken care of by pre-existing products that get matched with temporary needs, thus, upholding community living.
One can upload the details for the products they wish to rent and earn money; individuals can share anything from books to musical instruments to vehicles through this. Unlike the case of giving your bike and toys to your siblings out of...uhm... care(?) you can earn here. Giventa is one such platform which facilitates sharing and helps you earn.
3. Modern Barter System (Need-based utilization)
Remember back in school days, how commerce students would draw science students' records and get a treat in return back in school days? This is what is need-based utilization but money instead of free food.
The pronounced outcome of a shared economy is need-based utilization. By having temporary access to assets, one can make the best use of them. This also helps keep one’s spending spree in check. Moreover, the time, cost, and energy invested in procuring these assets are undeniably lesser than actually buying them. There are many options from which one can choose what they want, from different price ranges to different terms and conditions. For instance, if a dance student wants a particular accessory for a performance, they could opt for services like eBay and rent them instead of buying them, creating a win-win situation for all the parties involved.
4. Debunking power structures
We live in a highly capitalistic and industrialized society with many aspects to be faced. Say fast fashion, mass production, consumerism, pollution, etc. All of these enable institutions of power to keep up their power positions. "Rich gets richer, poor gets poorer.” At the receiving end of this transaction, we are not just forced to succumb to the hierarchy, but we also face most of the consequences these institutions promote.
Unlike a hero who fights these injustices and wins in movies, all of us can be protagonists now! By opting for sharing economy services, we would be refuting to be a part of the power structure and help flatten the hierarchical structure. Hence, going against the very ideals laid down by capitalism and contributing to community-based living.
Conclusion
The above are some suggestions to put the sharing economy into practice. As mentioned earlier, the sharing economy is an excellent economical option that has many benefits for its participants. Everyday life situations or the quick wit ideas that strike when we are broke are the best examples for this. It not only makes our life easier but also helps us protect the ecology. It endorses sustainable development by providing a balanced alternative. "Sharing is caring."
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