Examining the “sharing
economy” of Uber and
Airbnb
Team Members:
• Anushuya Anbu
• Amandeep Kaur
• Amanpreet Kaur
• Prateek Bhraman
• Sandra Lucio
Introduction
• The idea of sharing economy
• The concept of disruption
• Uber and Airbnb as key players in the sharing economy
Analysis of Uber and Airbnb
Uber Airbnb
• Uber relies on being the first to market • While Airbnb focuses entirely on its
quickly, while Airbnb employs a more core business, Uber prefers market
deliberate approach that includes pre-
consolidation by investing in
interaction with local authorities. regional competitors it loses to, as
• Uber adopts a quicker approach to market opposed to intensifying rivalry.
penetration and addresses demand than
Airbnb, which takes longer to plan out its • Furthermore Airbnb has its
expansion tactics significantly more profitable on an
• Uber works on the first movers adjusted EBITA and free-cash-flow
advantage and tries to expand basis.
everywhere it sees the opportunity
• Airbnb as two sided marketplace:
looking for someone to host and
stay
UBER PESTEL ANALYSIS
P E S
Provides flexible jobs Consumers prefer
Regulation and
for more than 100k the convenience of
Licensing
drivers ride-sharing
T E L
Optimize ride- Expanding its Classified Uber
matching and fleets of Evs. drivers as
route planning. independent
contractors.
AIRBNB PESTEL ANALYSIS
P Short-term rental
E S
Booking generated The ability to
regulation, to
over 3 billion in provide unique and
protect housing
economy activity. local
affordability.
accommodation.
T E L
Smart pricing tool. Promotes sustainable Municipal
tourism for its eco- Accommodation
friendly listing. tax.
Brand trust
Regulation Challenge Competition
s
Sustainabilit
y & Ethics
Conclusions
•The innovation of Uber and Airbnb has served as a good point that the. The creation and utilization of those networks
have brought convenience and new form of services without disturbing any incumbent equilibrium. The sharing
economy platforms have enabled people to adopt shared resource where they are in short supply but most importantly
made it possible for service providers to meet the new markets provided by the abundant use of the internet and
connect people to enable the sharing of resource.
•There’s enough given that, who can always be seen as positive examples of the advantages of these new economic
strategies, where such emerging markets are concerned – however, that is far from being the whole picture.
Consideration should be given to matters regarding, for instance, labor rights, ethical concerns, and the disadvantages
evident in geo-monetized activities. During the development of the economy, these aspects will become more and
more important to be addressed in order to achieve the desired result.
•There is a great deal of potential in sharing economies to prosper and come up with better solutions. This growth will
probably be met with greater constraints, especially legalizing and controlling it. Rather concentration in the economy
populated services may disturb and the way in which the economy will get build quickly could change. Governments
should anticipate future challenges and make attempts to address them as they take the appropriate measures.
Thank you…
References
• Greenwood, Brad and Sunil Wattal (2017), “Show Me the Way to Go Home: An Empirical Investigation of Ride
Sharing and Alcohol Related Motor Vehicle Fatalities,” MIS Quarterly, 41 (1), 163–187.
• Li, Hui, Yijin Kim, and Kannan Srinivasan (2021), “Market Shifts in the Sharing Economy: The Impact of Airbnb on
Housing Rentals,” SSRN, https://ssrn.com/abstract=3435105.
• Zalmanson, Lior, Davide Proserpio, and Irit Nitzan (2018), “Cancellation Policy as a Signal of Trust and Quality in
the Sharing Economy: The Case of Airbnb,” SSRN, https://www.readcube.com/articles/10.2139%2Fssrn.3292336.
• City of Toronto. (2022). Short-term rental regulations. https://www.toronto.ca/services-payments/short-term-rentals/
• Airbnb Canada. (2023). Economic impact of Airbnb in Canada: 2022. https://news.airbnb.com/en-ca/
• Uber Canada. (2023). Driving towards sustainability: Uber Green launches in Vancouver.
https://www.uber.com/en-CA/newsroom/
