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View metadata, citation and similar papers at core.ac.uk brought to you by CORE provided by University of Minnesota Digital Conservancy ONLINE COLLABORATIVE CONSUMPTION: EXPLORING MEANINGS, MOTIVATIONS, COSTS, AND BENEFITS A DISSERTATION SUBMITTED TO THE FACULTY OF THE GRADUATE SCHOOL OF THE UNIVERSITY OF MINNESOTA BY JUNG MEE MUN FOR THE DEGREE OF DOCTOR OF PHILOSOPHY KIM K. P. JOHNSON, ADVISOR JUNE 2013 Copyright © 2013 by Jung Mee Mun All rights reserved. ACKNOWLEDGEMENTS This dissertation would not have been possible without the support of many people. I would like to express my sincere gratitude to my advisor, Dr. Kim K.P. Johnson for her guidance, generosity, and continuous support. She has been a source of inspiration and I feel grateful to have her as my advisor. I would also like to thank my committee members, Dr. Hye-Young Kim, Dr. Juanjuan Wu, and Dr. Marti Gonzales for their constant encouragement and valuable suggestions for this research. Finally, I wish to thank my parents for their patience, support, and endless love. i ABSTRACT This research aimed to provide an in-depth understanding of the experience of online collaborative consumption. Collaborative consumption encompasses the sharing, renting, or swapping of goods, information, and resources. This form of consumption is being reinvented as a result of the Internet. The specific research questions of this study were: (1) What is the nature of the lived experiences of collaborative consumers? (2) Who are collaborative consumers? (3) What motivates/deters engagement in collaborative consumption? (4) What criteria are used to assess collaborative consumption opportunities? (5) What limitations exist concerning the growth of collaborative consumption? (6) What does being an active collaborative consumer mean to these individuals? (7) How has participation in collaborative consumption impacted views or behaviors concerning consumption in general? This study was conducted in three different collaborative consumption contexts: product service system, redistribution market, and collaborative lifestyle, to gain a holistic understanding of collaborative consumption. Using a phenomenological approach, 30 collaborative consumers participated in in-depth interviews. A range of motivations, benefits, costs, and meanings associated with collaborative consumption were revealed. Participants’ primary motive to consume collaboratively was economic (e.g., to save and earn money), followed by social (e.g., to give or gain support), functional (e.g., reduce clutter), environmental, and personal (e.g., keep up with fashion trends) motivations. The majority of participants indicated that social benefits (i.e., forming relationships, socializing) were the most important benefits of collaborative consumption. The ii collaborative consumption website became a venue for participants to not only share possessions but also their knowledge, ideas, and concerns. Several participants identified trust concerns associated with collaborative consumption. To build trust, online reputation (e.g., reviews) was a significant criterion on which participants relied. A range of meanings for collaborative consumption emerged from personal (e.g., removing clutter, freedom) to broader meanings (e.g., community building, fostering social responsibility). Participation in collaborative consumption impacted changes in views and behaviors. Participants became sensitive to discounts and felt uncomfortable buying things new. Participants also shared that they increased or shifted to buying environmentally friendly or sustainable products. Discussion of the findings, limitations, and suggestions for future research were also provided. iii TABLE OF CONTENTS Abstract ............................................................................................................................... ii List of Tables .................................................................................................................... vii List of Figures .................................................................................................................. viii CHAPTER I. INTRODUCTION ................................................................................... 1 Context and Background................................................................................................. 1 Consumption Trendswithin the U.S. ......................................................................... 1 Consumerism. ...................................................................................................... 1 Anti-Consumerism. ............................................................................................. 6 Emerging Consumption Trend: Collaborative Consumption .................................... 7 Systems of Collaborative Consumption. ........................................................... 10 Statement of Purpose and Research Questions ............................................................. 12 Rationale and Significance of Study ............................................................................. 14 Definitions of Key Terminology used ......................................................................... 16 CHAPTER II. REVIEW OF RELATED LITERATURE ......................................... 17 Sharing ......................................................................................................................... 17 Collaborative Consumption Characteristics ................................................................. 17 Detailed Discussion of the Three Systems of Collaborative Consumption .................. 23 Motivations for Collaborative Consumption ................................................................ 26 Benefits to Collaborative Consumption ........................................................................ 30 Impediments to Collaborative Consumption ................................................................ 32 CHAPTER III. METHODOLOGY ............................................................................. 37 Research Approach ....................................................................................................... 38 Research Sample ........................................................................................................... 39 Data Collection ............................................................................................................. 40 Data Analysis ................................................................................................................ 44 Ethical Consideration .................................................................................................... 45 Issues of Trustworthiness.............................................................................................. 46 CHAPTER IV. FINDINGS ........................................................................................... 49 Participants’ Characteristics.......................................................................................... 49 Collaborative Consumption Experience ....................................................................... 52 Collaborative Consumption Process....................................................................... 52 Product Service System. ................................................................................... 52 Redistribution Market....................................................................................... 57 iv Collaborative Lifestyle ..................................................................................... 62 Successful and Unsuccessful Experiences. ............................................................ 66 Successful Experiences. ................................................................................... 67 Unsuccessful Experiences. ............................................................................... 71 Motivations for Collaborative Consumption ................................................................ 73 Economical Motivation. ......................................................................................... 73 To Pay Less and Gain Value. ........................................................................... 74 Obligation to Save Money ................................................................................ 75 To Earn Money ................................................................................................. 76 Functional Motivation. ........................................................................................... 77 For Convenience............................................................................................... 77 To Reduce Clutter............................................................................................. 78 Environmental Motivation...................................................................................... 79 Social Motivation. .................................................................................................. 80 Give or Gain Social Support............................................................................. 80 Personal Motivation................................................................................................ 81 To Keep Up-to-Date with Fashion Trends. ...................................................... 82 To Gain Nostalgic Pleasure .............................................................................. 82 To Prepare for Future Needs