Sharing economy is a term for a way of distributing goods and services, in a way that differs from the traditional model of corporations hiring employees and selling products to consumers.

In the sharing economy, individuals are said to rent or "share" things like their cars, homes and personal time to other individuals in a peer-to-peer fashion.

The sharing economy is significant socio-economic trend and a fast-growing innovation opportunity, and the platform business model is the most common way to innovate within it.

The platform business model must be considered the most important and revolutionary business model of the last decade or two: Google, Facebook, Alibaba, Netflix, Uber, Airbnb, TripAdvisor, Booking.com, PayPal and many other of the most successful recent startups are built on it.

Airbnb has revolutionised short-stay accommodation since it was founded in August 2008, and now provides access to more than six million properties in more 81,000 cities and 191 countries.

In 2009, Uber made it their mission to scrap the idea that taxis were the only way to get around a city. Today, Uber facilitates 15 million rides a day -- without owning a single cab.

They use information technology (IT systems), typically available via web-based platforms, such as mobile “apps” on Internet- enabled devices, to facilitate peer-to-peer transactions.

They rely on user-based rating systems for quality control, ensuring a level of trust between consumers and service providers who have not previously met.

They offer the workers who provide services via digital platforms flexibility in deciding their working hours, and to the extent that tools and assets are necessary to provide a service, they rely on the workers using their own.

Traditional industries are being affected by the sharing economy—and many traditional brands will struggle if they do not adapt to the changing landscape.

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