What is a defining characteristic of the Sharing Economy?

The defining characteristic of the Sharing Economy is that it involves consumers exchanging goods and services through digital platforms. This modern economic model enables individuals to leverage technology to access a variety of services and products without the need for ownership. Platforms like Airbnb and Uber exemplify this, where individuals share their spaces or services with others, often facilitating peer-to-peer transactions.

This model contrasts with traditional business practices, which rely heavily on ownership and direct purchasing from established companies. The Sharing Economy exploits the capabilities of digital technology to create flexible and accessible markets that may not be confined to physical locations. While sharing personal items can occur in this economy, it encompasses much more than just interactions among friends, including broader consumer markets and services.