What´s mine is yours - but for a price: A model of fair pricing perceptions on willingness to engage in the collaborative economy - the case of Airbnb

Isabelle Roggenkamp

Student thesis: Master thesis

Abstract

What’s mine is yours, but for a price: A model of fair pricing perceptions on willingness to engage in the collaborative economy – the case of Airbnb Purpose: The given paper investigates whether perceived price fairness (PPF) encourages sharing activity within the collaborative economy, through investigation of its antecedents and consequenc-es, taking into consideration personal and social aspects of fair prices. Methodology: After a literature revision, a structural model is built, adapted from Campbell (1999) incorporating antecedents and consequences of PPF. Cognitional, psychological, and social consid-erations have been incorporated and subsequently quantitatively tested with a case study about Airbnb Inc. (Airbnb), an international P2P accommodation sharing platform. Findings: PPF is highly influenced by cognitional and psychological aspects, however cultural in-fluences are not influencing PPF. PPF plays a significant and positive role in consumer’s willing-ness to engage in sharing activity. Social preferences constitute a mediating role in the relationship. Contextual framing effects have been replicated and shown to highly influence consumers’ percep-tions. Research limitations: The research is limited to its own scope and excludes further variables. It is also limited to the service offered by Airbnb and generalized conclusions for the collaborative economy should be considered carefully. Practical implications: Commercial sharing marketing managers should be aware that consumers are highly influenced by price fairness perceptions and should thus monitor price developments of their platforms accordingly. Originality: The originality of this study comes from combining literature of price fairness with cognition, psychological, and social considerations, while applying it to the arising field of the col-laborative economy.

EducationsMSc in International Marketing and Management, (Graduate Programme) Final Thesis
LanguageEnglish
Publication date2015
Number of pages146