Increased Value Through Sharing in Multi-Sided Markets: Sustainability With Ridesharing

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Author(s): Nina Tura (Lappeenranta University of Technology, Finland), Aino Kuitunen (Lappeenranta University of Technology, Finland), Lauri Lättilä (SimAnalytics, Finland)and Samuli Kortelainen (Lappeenranta University of Technology, Finland)
Copyright: 2018
Pages: 18
Source title: Value Sharing for Sustainable and Inclusive Development
Source Author(s)/Editor(s): Mario Risso (Niccolò Cusano University, Italy)and Silvia Testarmata (Niccolò Cusano University, Italy)
DOI: 10.4018/978-1-5225-3147-0.ch011

Keywords: Business and Organizational Research / Business Science Reference / Environment & Agriculture / Sustainable Development

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Abstract

The demand for more sustainable business models is increasing the need for current businesses to develop their business processes and value creation mechanisms. One way to improve sustainability is sharing resources and services in a new sharing economy paradigm. This chapter builds a conceptual model for taxi ridesharing to describe the value potential that is born by increasing the efficiency of taxi businesses. First, a framework for multisided markets is built to understand the different value elements of taxi ridesharing. Then, a conceptual mathematical model is introduced to understand the value symmetries including the cost saving potential and allocation from the perspectives of the customer and the supplier. The model shows that it is possible to have a system that creates value for both the taxi driver and the passenger, while simultaneously leading to significant reduction in CO2 emissions.

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Increased Value Through Sharing in Multi-Sided Markets: Sustainability With Ridesharing

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