Vulnerability and perceived risks in the peer-to-peer sharing economy

The peer-to-peer (P2P) sharing economy, as an attractive alternative to permanent ownership, creates a triadic relationship among three groups of participants: service enablers, providers, and consumers. One of its main features is the expansion of the user's role to the roles of consumer and provider, or “prosumer.” However, in their role as prosumers, individuals may have an aversion to participating in the P2P sharing economy market due to their sense of powerlessness and lack of control, suggesting that their vulnerability needs to be considered. Despite their importance, prosumers have not received commensurate attention in the sharing economy literature. To address this gap, we examined prosumer vulnerability's impact on risk perceptions in the role of prosumer and illuminated these risks' impact on intentions to participate. The results from a U.S. survey indicate that vulnerability is a significant driver of all risk types, for both consumers and providers. Furthermore, psychological risk and security risk are found to significantly decrease intention to participate. Unexpectedly, social risk increases intention to participate among consumers and providers, while privacy and health risks are insignificant.