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A 2020 perspective on “Opportunities or threats: The rise of online collaborative consumption (OCC) and its impact on new car sales”

Research output: Contribution to journalArticle

Yue Guo, Fu Xin, Stuart J. Barnes, Xiaotong Li

Original languageEnglish
Article number100932
JournalElectronic Commerce Research and Applications
Volume40
DOIs
Publication statusPublished - 1 Mar 2020

King's Authors

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  • King's College London

Abstract

Online collaborative consumption (OCC) models, such as Uber and Airbnb, have emerged as popular peer-to-peer platforms in the sharing economy. Our study investigates whether the adoption of a leading ride-hailing platform, Didi Chuxing, increases or decreases new car sales shortly after the platform's entries across 51 cities in China. Our empirical results suggest that the initial entry of a dominant ride-hailing company like Didi Chuxing, positively impacts new car sales in the short run. However, we suspect that this positive effect will be transitory. Platform competition and country-specific characteristics may also influence the new car market dynamics. Future works are needed to investigate whether some of the previous findings based on traditional two-sided markets can be generalized to online collaborative consumption platforms.

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