Uber, Airbnb: Ethical Challenges in Peer Production

Executive Summary

The following report analyses the viability of the platform based peer-to-peer production systems of Uber and Airbnb on the grounds of ethical and unethical. Further, the review evaluates on the sustainability for having such platforms in reducing racial discrimination among the players in the industry. Additionally, the paper provides an extensive analysis of the situations that is being discussed in the review drawing conclusions based on the weight of the advantages and disadvantages.

Introduction

In latest experiences, there exists a massive debate concerning the ethicality of supporters of platform centered peer production networks like Uber, Airbnb, Deliveroo is attaining more complexes, creating an ethical dilemma as well as drawing more consideration from the economy and the media (Bauwens, Kostakis & Pazaitis 2019).

For the platform grounded peer production networks, entities rent out private resources via a group of online presentations and Internet locations that permit individuals to participate and connect in peer-to-peer commercial activities with each other. These systems for that reason back to the raise of the associated economy that continues improving the social trends and technological developments that lead individuals to shift from the desire of proprietorship to the necessity of access.

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In the current world, an associated economy is specified as a controlling-disrupting trade model in businesses such as accommodation and transportation. Advocates state the concept to have ethically social benefit that aids individuals exploit the worth of under-used resources, avoiding wastage and aid communities live linked whereas on the other side, there exists critics claiming it to have a negative aspect of neoliberalism.

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This research essay will focus mainly on both Airbnb and Uber. They exist as the top actors in the platform grounded peer production network in the industry, with a marketplace share value worthy over US$24 billion and over US$60.5 billion respectively. With much significant and presence development in the marketplace, shareholders such as regulators, governments, as well as industry incumbents would undeniably be taking more concentration in platform built peer production structures and therefore, leads to more desire for these structures in a related economy to possess proper conduct and ethics (Dowell 2019).

AgrumentsWhy are platform based peer production systems claimed to be inherently unethical?Despite the much achievement of the peer-to-peer trade models, there exist several critics claiming that platform centered peer production networks remain a free marketplace, creating fears to customary trades and transferring threats to users (Scholz & Schneider 2016). The main actors in the marketplace, Uber and Airbnb have encountered an important substantial critiques and objections for the ethical matters and hostile social influences since their commencement.

Foremost, danger is shifted to clients in platform grounded peer production structures. For example, Airbnb, where individual owners are the ones to offer accommodation rentals to entities, who have encountered several regulatory and legal issues (Cheney 2002). They have challenged with policymakers who contended that they must similarly be regulated and taxed like the hospitality industry. In controlled trades, they are obliged to conform to the government measures to shield the welfare of customers. Nevertheless, it is against the requirement for Airbnb having such a controlling organization as well as for Uber. Within the taxi business, taxis are greatly controlled to protect the welfare of the passengers and drivers.

Regular inspections and checks are essential and car drivers are supposed to have a trade license before operating in the customary taxi industry (Smedlund, Lindblom & Mitronen 2018). To top on the number of matters that assert the industry models to have an inherently unethical, inform that Uber had informed for letting fire-prone vehicles cars to motorists in Singapore notwithstanding being cognizant that the cars are insecure and maltreating client's safety during perilous circumstances through an algorithm surging prices in the course of the, Australia shooting in Sydney. For that reason, how are the platform built peer production structures ethical in this economy when they fail to conform to the government regulations to safeguard the welfare consumers?

Subsequently, even if Uber and Airbnb are marketable accomplishments they similarly have negative social influences. Imbalanced competition is developed because of the platform centered peer production schemes (Slee 2017). These schemes have caused and threatened a raise in rivalry to customary service providers like the taxi and hotel industry. The tax-sharing systems had disturbed the controlled trades by troublemaking the industry market benefit systems for independent players and as a result, influencing the revenue of the providers within the cab industry. Indeed, incumbent trades that remain in competition within the peer-to-peer trades are also exposed to a far-reaching variety of taxes while peer-to-peer trades are not (Rahman 2014). Rivalry is good provided all the players are controlled in the same way as one of the statements indicated by Uber's rivals in the course of the calling for regulation and bans of Uber. This situation had considerably bothered controlled sectors because of imbalanced rivalry by the fresh players in the marketplace as they provide similar services and goods as theirs nevertheless instead, failing to comply with such conventions that making it unethical (Bourgine, Collet & Parrend 2019).

Apart from shifting risks to customers and advancing unfair rivalry in the marketplace, there are similarly more ethical challenges encountered by the platform centered peer production schemes like Airbnb's racial discernment and Deliveroo's small paid employees (Stone 2017). An African American in 2016 lodged a grievance against Airbnb when the host denied his booking in his profile that had an individual photo of host but in its place acknowledged the booking as the client confirmed two counterfeit profiles of an American man. Deliveroo has won the privileges not offer its providers least wage, basic protection and holiday pay. Even if it is a sharing economy, dangers are shifted to its customers as well as to the service providers operated under them extenuating platform centered peer production schemes to portray inherently unethical (Leinwand & Mainardi, 2016).

To institute substantial confidence between service providers and users who have failed to meet, the platforms reliant on consumer-grounded rating schemes for quality regulation. For instance, EBay rating scheme grants trade integrity on clients as well as with Facebook an individual could evaluate profiles of entities before renting the individual possessions to them (Srnicek 2017). Nevertheless, controllers regarding the welfare of clients of such internet sites and apps do not respect user rating and substitute regulation schemes as sufficient alternates for state criteria of client protection (Lenssen & Smith, 2019). This is due to producer-grounded delegated guideline deprives responsibility measures to make certain the providers safeguard the individual clients against fraud and liability.

Claims supporting the ethicality of platform based peer production systems

Whereas the idea of the use the shared trade has had many critiques, which has substantial concern in the sharing business as a method of stimulating maintainable consumption experiences (Mclaren, & Agyeman, 2015). The platform grounded peer production structures promote a highly sustainable and balanced sharing of capitals by decreasing the expenses of using services, goods, as well as the demand for capitals.

Inventions that wish to reform society and develop a justifiable economy are enclosed by multifaceted discussions and inconsistent framings. Despite the numerous critics that assert these trades as unethical, there exists additional also supporters that back the ethicality in the sharing business and asserts that it develops about substantial gains to the economy (mHealth: New Horizons for Health Through Mobile Technologies 2002). For example, (Share the World Resources) STWR exists as a self-governing civil society entity that helps the sharing campaigns and economy for an equitable allocation of capitals between countries to endorse social justice, global peace true democracy and environmental stewardship.

Platform peer producing schemes enable individuals, make economic social, capitals, as well as environmental value, decentralizing structural structures around the globe. Also proclaimed the sharing business as a possible new way to sustainability (McKee, Makela & Scassa 2018). To begin with, these schemes had offered main economic prospects such as developing new methods of economic and work growth (Dredge & Gyim?thy 2017). In the United States, the sharing economy has significantly improved its economy via bringing significant revenue boosting after numerous years of stationary income growth. These schemes enable individuals to monetize their under-utilized personal assets and time. In this sharing economy, individuals generating gains considered as micro-businesspersons whereas the economy situation is believed as a noteworthy commercial prospect for individuals. It is unmistakable that the allocation of the economy is creating huge quantities of wealth to the trade.

Additionally to the financial gains, environmental, as well as social gains have been asserted that the use of same arena promotes a sustainable system of consumption. Capitalist markets have faced numerous difficulties of social and environmental influences because of the unverifiable consumer behavior (Kostakis & Bauwens 2014). Nevertheless, with accommodating of homes and ride-sharing systems there exists an advantage of consolidating communities by bring together new individuals and shaping relationships. Concerning the environmental gains, numerous supporters deliberate the sharing market to be sustainable and new method of use grounded on individuals retrieving instead of possessing resources. For that reason, these systems aid to decrease wastage and make additional consumption for individuals (Davidov 2019). This emphasizes the environmental and social gains of the economy sharing and, as a result, backs the ethicality of system grounded peer production schemes.

Whereas regulators repel and critique the advance of the platform grounded peer schemes, it is offered as beneficial and essential on the base that it offers a way to a different economy' built around the worry for individuals and the setting. It is similarly determined by the values and ethics of state sovereignty, social fairness democracy, and environmental fairness that make certain a distributed, sustainable and equitable market in the finish.

Analysis

Within this essay, the ethicality under platform grounded peer construction schemes is enclosed in contradictory and complex ways. Advocates assert that these schemes bring about considerable benefits to clients such as producing more consumption as well as generating a devolved economy through social justice; making certain there exits reasonable spreading of capitals around the world (Guyader 2019). Though, these trades will fail to be helpful to the economy in case they fail to incorporate appropriate conducts and ethics in their trade models nevertheless instead, of causing more injury to shareholders; circumstances and incidents mentioned earlier produced by Uber and Airbnb. Cases like Uber letting out fire susceptible vehicles would failed to occur in case these trades are being controlled by the state and are made certain that they met state measures to protect the welfare of consumers (Codagnone, Karatzogianni & Matthews 2019).

Additionally, structuring that asserted these schemes to have ethical claims remain not well supported through the success cases at a noteworthy scale in relation to the criticisms purporting that it remains unethical as well as, triggering it to have a feebler stand.

Conclusion

Because of the considerable amount of proofs these trades have on endangering its shareholders, racial acumen and not shielding its customers' security, I have established that platform grounded peer production schemes fail to be appealed to be inherently unethical. Nevertheless, with instruction from state, the integration of appropriate conduct and ethics into the schemes, these trade models would be capable to offer noteworthy amount of gains that would advance states socially, economically, and environmentally, forcing the economy to viability in the end.

References

  • Bauwens, M, Kostakis, V, & Pazaitis, A, 2019. Peer to Peer: The Commons Manifesto, University of Westminster Press, viewed 28 July 2019, JSTOR Books Open Access database.
  • Bourgine, P, Collet, P & Parrend, P 2019, First Complex Systems Digital Campus World E-Conference 2015, Springer International Publishing, viewed 26 July 2019, <
  • Cheney, G. 2002, Values at work: employee participation meets market pressure at Mondrago?n, Cornell University Press, Ithaca, N.Y.
  • Codagnone, C., Karatzogianni, A., & Matthews, J. 2019, Platform Economics: Rhetoric and Reality in the 'Sharing Economy', Emerald Publishing Limited, viewed 26 July 2019, <
  • Davidov, G 2019, A purposive approach to labour law, Oxford University Press, viewed 28 July 2019, University Press Scholarship Online database.
  • Dowell, R 2015, 'Peers Inc: how people and platforms are inventing the collaborative economy and reinventing capitalism', Library Journal, vol. 140, no. 8, pp. 81-82, viewed 26 July 2019, EBSCOhost Business Source Complete database.
  • Dredge, D & Gyim?thy, S 2017, Collaborative Economy and Tourism: Perspectives, Politics, Policies and Prospects, Springer International Publishing, viewed 26 July 2019, <
  • Guyader, H 2019, 'The Heart & Wallet Paradox of Collaborative Consumption', PhD thesis, Link?ping University, Link?ping, <
  • Kostakis, V & Bauwens, M 2014, Network Society and Future Scenarios for a Collaborative Economy, Basingstoke, GB: Palgrave Macmillan, viewed 20 July 2019, <
  • Leinwand, P & Mainardi, C 2016, Strategy That Works: How Winning Companies Close the Strategy-to-Execution Gap, Harvard Business Review Press, viewed July 28 2019, <
  • Lenssen, G & Smith, N 2019, Managing Sustainable Business, Springer Netherlands, viewed July 28 2019, <
  • McKee, D, Makela, F & Scassa, T 2018, Law and the "Sharing Economy": Regulating Online Market Platforms, University of Ottawa Press, viewed 28 July 2019, JSTOR Books Open Access database.
  • McLaren, D & Agyeman, J 2015, Sharing Cities: A Case for Truly Smart and Sustainable Cities, The MIT Press, viewed 28 July 2019, EBSCOhost eBook Collection database.
  • mHealth: New Horizons for Health Through Mobile Technologies 2002, World Health Organization, viewed 28 July 2019, ProQuest Ebook Central database.
  • Rahman, S 2019, 'Introduction to E-Commerce Technology in Business', lecture notes, Computer Application in Business, International Islamic University Chittagong, viewed 28 July 2019, <
  • Scholz, T & Schneider, N 2016, Ours to Hack and to Own: The Rise of Platform Cooperativism, A New Vision for the Future of Work and a Fairer Internet, OR Books, New York, viewed 28 July 2019, <
  • Slee, T 2017, What's yours is mine: Against the sharing economy, OR Books, London.
  • Smedlund, A, Lindblom, A & Mitronen, L 2018, Collaborative value co-creation in the platform economy, Springer International Publishing, viewed 28 July 2019, <
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  • Stone, B 2017, The upstarts, Little, Brown and Company, New York.
Updated: Nov 30, 2023

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Uber, Airbnb: Ethical Challenges in Peer Production. (2019, Dec 04). Retrieved from https://studymoose.com/ethics-research-5-essay

Uber, Airbnb: Ethical Challenges in Peer Production essay
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