The information about the selected company’s business models, their individual strategies regarding their individual sustainability have been mentioned based on the traditional firms and the sharing economy firms. in In the later part of the report, the discussions of analyzing the particular global entry mode as well as their individual strategies, individual internal and external strengths and limitations have been emerged by following the business models and strategies (Cravens and Piercy, 2013).
In seven successful years since its inception, the Silicon Valley’s sharing economy giant Uber has become one of the highest value private companies in the world. The company had started in the year 2009 with an implausible business idea and understanding. Over the past years, technology has grown rapidly and has supported the company to operate its business activities in over 500 cities. Uber has revenue of 10.8 billion US dollar, and many projections have shown that the sharing economy has the potential to increase the global revenue in the coming years.
On the other hand, another United States sharing economy giant, Airbnb, over the eight years of operation has surpassed its peers in the hotel or hospitality service industry and has become a household name in the Silicon Valley (Williams, 2009). As of now, the company had 10 million guests, as well as 550,000 listed properties worldwide and had received 7776.4-million-dollar investment.
Nearly one-fifth of Americans partake in sharing economic activities as the concept is a convenience, as well as cost saving. People all across the globe has participated in sharing the economy by hiring or renting cars, lodging in hotels and with many more activities. According to the market experts, the success story of the sharing economy will not end here, and they suggested that sharing economy is globally expanding to touch companies, consumers, employees and employers across the world. The sharing economy looks to stay in coming years, and experts predict that sharing giants like Uber or Airbnb will be in business operation even in 2050 (Winer and Dhar, 2014). The sharing economy has the potential to long-run economic value for the companies operating as sharing economy. Uber or Airbnb has utilizes the technology to provide services their customers on time.