7. • What technologies are used?
• What assumptions are broken?
https://www.youtube.com/watch?v=y-rEI4bezWc
8. People
• “Net generation”
• 24x7 “mobile” workforce
• Knowledge via MOOCs
• Sharing not owning
• Sustainability
• Work but not employed
Technology
• Broadband
• Smart phones
• The cloud
• Internet of Things
• Big Data
• 3D printing
• Robotics/AI
• VR/AR
• Holography
Open Source IP
• Software
• Hardware
• Physibles
Convergence of…..
Finance
• Microlending/microfinance
• Crowdfunding/equity/P2P
• Cryptocurrencies
• Blockchain
• Mobile money/payments
• M2M payments
9.
10. History tends to repeat itself….
Innovation, financial crisis, industrial revolution, …
Steam
engine
Internal
combustion
engine
Internet
Microelectronics
Late 18th C Late 19th C Late 20th C
Schön 2008
Third
industrial
revolution?
11. Uber
• Launched June 2010
• >330 cities in 60 countries
• Limited physical assets
• > USD 60 bln valuation
(Ericsson – USD 30 bln)
“Doing more with less” through a global
platform
13. Increasing pace of change
From 2000 to 2010
− 40% Fortune 500 list replaced
Predictions
− In next few years, 70% Fortune 1000 to be
replaced
− By 2020, >75% of S&P 500 do not exist today
− By 2025, >45% of Fortune 500 to be from
emerging markets
Fast Company, McKinsey & Inc
17. A system that activates the untapped
value of all kinds of assets through models
and marketplaces that enable greater
efficiency and access.
- Botsman
The Sharing Economy
Harvard Business Review, 2014
The Sharing Economy: Embracing Change with Caution
http://www.slideshare.net/eteigland/sharing-economy-webb
18. Examples and well-known actors
in the Sharing Economy
Asset Examples Actors Swedish Actors
Tangible
Transportation
Property
Food
Uber
BlaBlaCar
Didi Kuaidi
AirBnB
Skjutsgruppen
SunFleet
Hoffice
Intangible:
Financial
Crowdfunding
P2P lending
Kickstarter
Indiegogo
LendingClub
Prosper
GoFundMe
FundedByMe
Crowdcube
ToBorrow
Intangible:
Services
Professional
Personal
Innocentive
Mechanical Turk
Upwork
TaskRabbit
eWork
Vint
TaskRunner
19. The Sharing Economy is enabled through
peer-to-peer (P2P) transactions on
multi-sided platforms (MSPs)
http://sloanreview.mit.edu/article/strategic-decisions-for-multisided-platforms/
20. LEARNING
p2p learning open courses & moocs
PRODUCTION
co-design / co-innovationdigital peer production distributed fabrication (makers)
FINANCE
p2p funding p2p payments p2p insurance compl. currencies
GOVERNANCE
SWARM
participatory organizations participatory government blockchain / DAO
CONSUMPTION
redistribution local food systemsproduct-service on-demand services
COLLABORATIVE ECONOMY FRAMEWORK V0.1
21. “Sharing” is big business…
http://www.web-strategist.com/blog/2015/06/04/the-collaborative-sharing-economy-has-created-17-billion-dollar-companies-and-
10-unicorns/
USD 26 bln today -> USD 335 bln in 2025
24. If Uber were to pay drivers as employees in USA.
25. Spawning a new form of capitalism -
Modern day sweatshops?
Digital Robber Barons?
“Monopoly” platform “Monopoly” platform
“Perfect
competition”
“Perfect
competition”
29. Local Stockholm success story:
Flippin’ Burgers
Money raised:
SEK 36,502 /
€4,000
Number of
investors: 186
Date funded:
September 2011
Sector: Food
32. Four forms of crowdfunding
Form Benefits for funders
Donation-
based
Donation Intangible benefits.
Reward-
based
Donation or pre-
purchase
Rewards in addition to
intangible benefits.
Equity-based Investment
Return on investment if
company does well. Rewards
sometimes also offered and
intangible benefits may motivate
too.
Loan-based Loan
Repayment of loan with
interest. Alternatively intangible
benefits if loan given interest-
39. “Made in Africa” 3D printer (Togo)
Winner of International
Space Apps Challenge
http://www.engineering.com/3DPrinting/3DPrintingArticles/ArticleID/5712/E-Waste-3D-Printer-to-Mars.aspx
40. What is FinTech?
Accenture/CB Insights
Technologies for banking and corporate finance,
capital markets, financial data analytics,
payments, and personal financial management
Finance TechnologyFinTech
48. Bitcoin – An emergent phenomenon
• Open source project on SourceForge in Jan 2009
• Original source code by “Satoshi Nakamoto” – pseudonym?
• Developed by self-organizing community of thousands of
strangers across globe
• Approx USD 6.3 bln market cap and approx 180,000 daily
transactions volume 1 BTC = USD 413 (March 8, 2016)
Teigland, Yetis, Larsson 2013 http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2263707
Within 6 years:
Challenging the
fiat money
system?
49. Bitcoin – one of 100s of cryptocurrencies
https://coinmarketcap.com/
50. What is a cryptocurrency?
Digital
Decentralized, peer-to-peer (P2P), i.e., no central,
third party
Uses cryptography to validate/secure transactions
Also uses cryptography to generate currency itself
Non-technical explanation of Bitcoin
− https://www.youtube.com/watch?v=t5JGQXCTe3c
51. How does Bitcoin work?
Screenclip from: How Bitcoin Works under the hood, by “Curious Inventor”
Block chain
• Shared public ledger
• All transactions ever
made logged
• Chronology and
integrity enforced by
cryptography
52.
53.
54. Betting on the Blockchain - Together
Goldman Sachs, JPMorgan,
Credit Suisse, Barclays,
Commonwealth Bank of
Australia,
State Street, RBS, BBVA, UBS,
Nordea, SEB, + ……
+
55.
56. Enablers of a “true” Collaborative Economy?
Blockchains
Collaborative
Economy
IoT/sensors
P2P/M2M
micropayments
Big data
57. LEARNING
p2p learning open courses & moocs
PRODUCTION
co-design / co-innovationdigital peer production distributed fabrication (makers)
FINANCE
p2p funding p2p payments p2p insurance compl. currencies
GOVERNANCE
SWARM
participatory organizations participatory government blockchain / DAO
CONSUMPTION
redistribution local food systemsproduct-service on-demand services
COLLABORATIVE ECONOMY FRAMEWORK V0.1
58. The automotive industry
Disruptions ......the likes of which the
industry hasn’t seen since the
automated assembly line.
http://asmarterplanet.com/blog/2015/01/auto-industry-innovation.html
63. No one knows everything,
everyone knows something,
all knowledge resides in humanity.networks.
Adapted from Lévy 1997Image: Krebs
64. “Local Motors is the place for people to create
influential vehicles together.”
http://communities-dominate.blogs.com/brands/2015/02/local-motors-and-the-radical-redesign-of-business.html
• 100xs less capital cost
• 5xs faster production
68. Community platform
Hierarchicalfirm
VS
E.g., Ford
~ Created by employees within
organizational boundaries
E.g., Local Motors
~ Created by community collaborators
regardless of affiliation
Teigland, Di Gangi, & Yetis 2012
The Flipped Firm: New model of value creation?
74. How does Bitcoin work?
Screenclip from: How Bitcoin Works under the hood, by “Curious Inventor”
Block chain
• Shared public ledger
• All transactions ever
made logged
• Chronology and
integrity enforced by
cryptography
75.
76.
77. Betting on the Blockchain - Together
Goldman Sachs, JPMorgan,
Credit Suisse, Barclays,
Commonwealth Bank of
Australia,
State Street, RBS, BBVA, UBS,
Nordea, SEB, + ……
+
78.
79. Groupwork
Prepare max 8 min ppt presentation answering the
questions in Notes in your groups:
1. Sharing Economy
2. Internet of Things
3. 3D Printing
4. Crowdfunding
5. Crowdsourcing
Some search tips
− Company homepages blogs
− www.wikipedia.org www.slideshare.net
− www.youtube.com www.instagram
− www.linkedin.com www.facebook.com
− www.twitter.com
80. If the rate of change on the
outside (of an organization)
exceeds the rate of change on
the inside, the end is near....
-Jack Welch
88. Jobs that did not exist 10 years ago
iOS/Android developer
Social media manager
UI/UX designer
Big data architect
Cloud services specialist
Digital marketing specialist
Sustainability expert
Zumba instructor
Beach body coach
Drone pilot and photographer
http://talent.linkedin.com/blog/index.php/2014/01/top-10-job-titles-that-didnt-exist-5-years-ago-infographic
99. What’s around the corner?
24x7 Global Internet Collaboration + Open Source + 3D Printing
http://mashable.com/2013/02/13/robohand/
$60,000
$150
Available for free
download on
$45
Where is
the firm?
$5
100. Thomas Jefferson (1816)
“Laws and institutions must go hand in hand
with the progress of the human mind.”
The problem is that the human mind itself
can’t keep pace with the advances that
computers are enabling.
http://wadhwa.com/2014/04/15/mit-technology-review-laws-and-ethics-cant-keep-pace-with-technology/
101. The challenge of ensuring trust
Leap of faith when
meeting strangers ->
Increased trust in
society?
Innovation is forward
looking while
regulations are
backward looking.
http://www.weforum.org/sessions/summary/rise-demand-economy
102. Some questions…
• What basic assumptions will no longer hold,
e.g., economies of scale, third party
verification?
• How will trust be enabled?
• How will new forms of value creation be
regulated?
• Why does the firm exist?