Dare to Share: MBAs and the Sharing Economy
From ride-sharing services like Uber to fashion websites like Rent the Runway, it should come as no surprise that these so-called “sharing economy” companies are changing the face of business. Of course, when business changes, so does business education. In today’s changing world, understanding the sharing economy and how to best use it could be key for new MBAs as they navigate the workplace.
What is the sharing economy?
It is no coincidence that the growth of the sharing economy — platforms which allow people to “collaboratively consume” by sharing goods and services — is occurring as the number of millennials in the workforce increases. Just as the economic recession of the 2000s resulted in a millennial push towards social entrepreneurship careers, those who grew up and attended school during this recession similarly adapted to a more socially conscious form of consumption.
The recent boom in the sharing economy is an understandable result of the millennial focus on minimizing waste and lowering costs. Although the rise in the sharing economy is recent — with services now allowing consumers to share anything from houses to musical instruments — the instinct for humans to share has existed since primitive times.
Today, being a part of the sharing economy can provide a number of important purposes for a millennial: make services more affordable, such as the cost of an Airbnb as opposed to a hotel; give an opportunity to earn extra income, such as selling goods through Etsy; and reduce waste by facilitating secondhand purchases.
How will the sharing economy affect today’s MBAs?
Even though the idea of the sharing economy seemed preposterous fifteen years ago, it is clear that the idea has caught on and will continue to grow. And not only is interest growing from consumers, but from up-and-coming professionals as well. In a survey by BusinessBecause.com, 94 percent of surveyed MBAs said they were interested in working for a sharing economy company.
In an ever-growing tech industry which sometimes seems to outpace itself, this forward-looking interest from MBAs is important. In the same survey, 63 percent of MBAs said that Uber was likely to still exist in 2050, whereas popular tech companies like Instagram and Facebook were 28 percent and 51 percent likely to exist, respectively. The long-standing investment firm Goldman Sachs was only given a 52 percent likelihood of survival.
Not only are MBA students increasingly interested in sharing economy companies, but these companies are also hiring MBAs at a growing rate. In Australia, Uber is even working alongside faculty at the Australian Graduate School of Management to identify talented up-and-comers to join their team. The ride-share app is expanding rapidly across the globe, and has become a top recruiter for schools such as HEC Paris and INSEAD.
Finally, knowledge is one more thing that can be shared within this new economy, and that means that today’s MBAs don’t just have more opportunities to work for other people, they also have more opportunity to work for themselves. New services allow businesses to hire contractors in a freelance capacity, meaning students can make money from what they know without even leaving their living room.
Sites like HourlyNerd, which was established by a Harvard Business School MBA, has a network of over 17,000 freelance consultants, 95 percent of whom have an MBA.
About the Author
Alanna Shaffer
Staff Writer, covering MetroMBA's news beat for Atlanta, Houston, and Dallas.
