Keynote 3: Prof. Dr. Franz Huber “On managing innovation in the sharing economy”

21 Pages·2017·1.4 MB·English

by  Vanja Venek

On Managing
Innovation in
the Sharing
Economy
Franz Huber
Joint work with Vadim Grinevich
The sharing economy potential
€572 bn –total value of resource
underutilisation in EU
(Goudin, 2016)
9,892 platforms in 132 countries
http://meshing.it
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Disruptive innovation?
Structure of the presentation
• What is the sharing economy and what is new?
• Upscaling challenges
Reflections on projects:
(cid:16) Upscaling in the Sharing Economy (2014-2015)
(Southampton Strategic Research Fund) with Vadim
Grinevich
(cid:16) Consumer issues in the Sharing Economy (2016-
2017)
(European Commission research) with VVA Consulting
What is the sharing economy?
• No shared definition or terminology
– Crowdsourced (peer) economy (Sundararajan,
2013)
– Access economy (Rifkin, 2000)
– Collaborative economy (Botsman and Rogers,
2010)
– Mesh economy (Gansky, 2010)
– Gig economy
– On-demand economy
What is the sharing economy?
• The way to engage households, individuals,
businesses, government, non-government
organisations, and their idle resources in
collaborative
– production
– distribution
– consumption
• via digital platforms
Still very broad !?
The Sharing Economy Landscape
“Pure” sharing On- demand Second- hand Product service
economy economy economy economy
Temporary P2P P2P access to P2P transfer of B2C shared
access to intangible ownership access
underutilised resources
physical assets
B2B sharing
Adapted from Frenken et al, 2015
P2P platforms as two-sided markets
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Hausemeret al. (2017), p. 19
What is new? Disruptive innovation?
• New value proposition: a cost-effective and convenient
access to underutilised or redundant resources.
• Appeal to a different group of customers: those willing to
use/reuse someone else’s (strangers’) assets on a regular
basis.
• Novel supply chain and operations model: outsourcing of
conventional business functions to peer
providers/consumers.
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Upscaling/geographical expansion
• Upscaling/geographical expansion critical for success of
platforms because of network effects.
• Generic digital platform technology could be applied
anywhere.
• But unclear which kind of activities/resources are required
for geographical expansion.
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Company type
• 3 types of companies
o foreign sharing economy platforms which successfully expanded
their operations in the UK
o foreign sharing economy platforms which attempted to expand in
the UK but later withdrew
o UK home grown sharing platforms expanding regionally,
nationally or internationally
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Sectors
30 companies interviewed
• 3 sectors
• Web-interfaces of 75 sharing economy platforms analysed
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Three perspectives
Born global vs. rest
Geography of value proposition: global from the start
Consequences:
• Peer providers/consumers in new locations ‘popping up’
• Customer support: centralised call centre
• Global branding effective
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One-sided vs. two-sided platforms
Type of platform: one-sided
(product-service economy)
Consequences:
• Substantive upfront
vs.
investment in fixed assets
required for new locations
• Coordination with local
authorities or infrastructure
providers required
• No need for tools to
generate trust among
individual strangers 15
Standardised vs. co-created
bespoke services
A significant amount of complex social coordination
required to co-create a service experience.
16
Standardised vs. co-created
bespoke services
A significant amount of complex social coordination
required to co-create a service experience.
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https://www.borrowmydoggy.com/safety
Standardised vs. co-created
bespoke services
A significant amount of complex social coordination
required to co-create a service experience.
Consequences:
• High quality communication requirements between the
platform, service providers and service recipients (f2f and
telephone…).
• Substantial investment in identifying and selecting service
providers (qualitative interviews etc.)
• Challenging experimentation with standardisation and
customization.
18
Idea types
Type 1 Type 2 Type 3 Type 4
“born global” “local value potentially “local infrastructure “co-created services”
global” as product service”
Pure sharing economy - Pure sharing economy - Product service On-demand economy -
accommodation; transportation, & economy - personal/professional
personal/professional transportation services
On-demand economy - services
professional services Business sharing -
On-demand economy - professional services
transportation
Second-hand economy-
Personalservices
Business sharing-
professional services
Little sharing among sharing economy platforms…
Untapped potential for collaboration and open innovation.
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Challenge: Regulation
• Increasingly important and complex:
– Understanding and finding ways of dealing with regulatory changes
– Coordination/lobbying with policy makers/regulators
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