Business Patterns and Reverse Innovation Cycles in the Sharing Economy

In this paper, we analyze the evolution of business patterns of about 1,050 organizations associating themselves with the Sharing Economy from the beginning of the Internet from 1993 onwards. Interestingly, there have been two similar phases of development, one before Web 2.0 between 1993 and 2005 and one from 2005 until today. In both phases, the patterns first focus on access, followed by the selling of products and accompanying services, and finally, enable renting of products. Although the Sharing Economy is no industry itself, we question whether a dominant design develops over time in sectors the Sharing Economy entered and how new services developed according to the reverse innovation cycle. The investigation contributes to the understanding and management of sector-related digital business models, the service innovation process, and Sharing Economy-related business patterns.