Shared economy – a natural evolution of modern society

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Erik Stríž
Project manager, editor
Bratislava, Slovakia

A shared economy is rolling the world, that’s for sure. The direct response is an active lifestyle and a modern world in which big money is filmed.

 

We increasingly read articles that advocate or condemn the shared economy. What is it all about and why is there such a stir? It can change everything that is obvious and important to us today. Can you imagine a world in which little boys no longer want their own cars and houses? It is this world that meets us and is defined by a shared economy.

 

What is the shared economy actually about?

– does not exclude personal property but does not need it;
– replaces the investment in assets for the purchase of services;
– is based on trust and built through the Internet.

 

Shared economy is another evolutionary step in our social life. For a long time, people tried to accumulate wealth and money so that they could use it and pass it on to their offspring. The vision of car ownership, real estate and people’s motivation to improve the work they do is the driving force behind all the founders of large corporations and corporations, helping people have smaller and larger goals in their lives.

Ownership itself, however, runs into existential problems, as young people feel insecure and love to live only what is right now. To a large extent, the Internet has contributed to the boom in the shared economy, which has made it possible to keep in touch with virtually anyone in the world, not just with a narrow circle of friends and family.

 

The basic prerequisite for a shared economy is to limit traditional ownership (especially cars and real estate) and replace it by renting and sharing. In short, you don’t have your own car, and you don’t even need it, because thanks to the Internet you can find out who is traveling in the same direction and put yourself on it. Short-term rental of real estate via Airbnb is also proof that the shared economy is already developing and is facing positive times.

It has always worked and it still works today, although we are not very aware of it: we borrow tools and clothes, and no one finds it strange. This is mainly the case between friends and family, but the Internet makes it possible to expand these social circles.

However, it does not rule out ownership as such, as someone will still have to own those cars – just offering them for sharing and renting. However, this should be the role of companies that would also be able to offer customers guarantees and stable price conditions.

 

Would you give your stranger the keys to your own car? Obviously not today, but in a few years it may be normal.

Would you give your stranger the keys to your own car? Obviously not today, but in a few years it may be normal.

A new generation is playing for sharing

The young generation sees things differently. She is reconciled to the temporary nature and the fact that she may not own some things.

It uses platforms like Uber, Airbnb, Bla Bla Car and is happy because it receives a service that fits her lifestyle ideas. “With different platforms, they have the opportunity to share items, knowledge, money, experience, networks, content and various other things – including cars and housing,” says Bla Bla Car.

Bla Bla Car also foresees at least important principles that drive a shared economy:

– Unused things lose value

– Access to things is better than ownership

– Trust among strangers on the Internet

 

It’s not for everyone

Today, the shared economy is often written as something that inevitably has to come and it is time. The exclusion of property is considered obsolete and outdated because its price of excessive and practical use questionable. Apparently, up to 90 percent of the time is spent somewhere parked, unused. Should we only pay ten percent of the total price of the car or should we look for a more cost-effective alternative? The first option is nonsense, the second is not.

The model of renting and sharing instead of ownership counts on a company in which everyone earns throughout their lives and invests the same or more money in services instead of investing in material. The retirement age associated with lower income and thus the inability to pay for sharing services is a risk and threat to the whole concept of a shared economy.

The current institute of property is good in that when a person buys a car, after it is paid out, value remains in his hands; maybe half or even lower, but some value. Even if the car has been paying off for ten years, it can continue to drive for decades if it cares well for it, or sell it and use the funds to buy another.

However, after ten years of rent, they will pay the same money, but without any investment in value. All he has to do is pay for short-term rentals and sharing, but with less chance of change. And if this person gets into retirement age, or if he or she faces serious obstacles, such as illness or a change in his / her life situation, he / she will be pushed aside.

The United States is a good example of how such a lifestyle does not work for rent. They are proof that even a wealthy person can become homeless within a year and lose both a house and a Porsche, which he actually only leases for a long time. If he had his own car and his own house, there would be a chance to sell them and get something cheaper, while still financially going green.

 

The shared economy owes its development to the Internet, Facebook and services like Uber, Airbnb and Bla Bla Car.

The shared economy owes its development to the Internet, Facebook and services like Uber, Airbnb and Bla Bla Car.

Microenterprise

A shared economy will make it possible to shift capitalism and entrepreneurship from company to person. It will enable the emergence of new ways of living based on the provision of services through publicly available Internet platforms. Many more people will be able to rent their cars and real estate for a short time to help others and make some money.

In this respect, quality, universal and secure Internet platforms for publishing offers and contact between provider and customer are essential. Nowadays, services such as Airbnb, Bla Bla Car or the mentioned Uber perform these tasks correctly.

 

Is a shared economy feasible in the long term? Will we be tolerated by all legislation? In fact, we already live and use it to our advantage, even if it penetrates the world of cars and real estate a little harder. Here it is necessary to build confidence and increase security. However, it is quite certain that, especially in large cities, the concept of shared economy will continue to grow and contribute to a significant change in the lifestyles of the coming generations.

 



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