Realizing the economic and circular potential of sharing business models by engaging consumers

Author:

De Bruyne Marie-JulieORCID,Verleye KatrienORCID

Abstract

PurposeToday's sharing economy covers a variety of business models. This research aims to (1) identify dimensions along which sharing businesses may vary and (2) investigate how these dimensions influence consumer engagement while considering consumers' sustainability orientation.Design/methodology/approachThis research relies upon a systematic literature review (n = 67 articles) to identify five sharing business dimensions: (1) ownership transfer, (2) professional involvement, (3) compensation, (4) digitalization and (5) community scope. A discrete choice conjoint experiment in the fashion industry is employed to investigate how these dimensions affect consumer engagement with sharing businesses (n = 383 participants).FindingsThe results suggest that ownership of tangible resources elicits more engagement than access to tangible resources for both consumers with a low sustainability orientation and consumers with a high sustainability orientation. Community scope also affects consumer engagement as reflected in more engagement towards sharing businesses with a local rather than a global scope. The presence of professional service providers, monetary compensation and a digital platform only induces engagement among consumers with a low sustainability orientation.Originality/valueThis research generates a better understanding of how sharing businesses can draw on business dimensions to engage consumers with different levels of sustainability orientation and, in turn, how sharing businesses can realize their economic and/or circular potential.

Publisher

Emerald

Subject

Strategy and Management,Tourism, Leisure and Hospitality Management,Business, Management and Accounting (miscellaneous)

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