Fairness, legitimacy and
the regulation of
home-sharing platforms
Gemma Newlands and Christoph Lutz
Department of Communication and Culture, BI Norwegian Business School,
Oslo, Norway
Abstract
Purpose – The purpose of this study is to contribute to current hospitality and tourism research on the
sharing economy by studying the under-researched aspects of regulatory desirability, moral legitimacy and
fairness in the context of home-sharing platforms (e.g. Airbnb).
Design/methodology/approach – Three separate 2Â1 between-subjects experimental vignette surveys
are used to test the effects of three types of fairness (procedural, interpersonal and informational) on two
outcomes: moral legitimacy and regulatory desirability.
Findings – The results of the research show that high perceived fairness across all three types increases
moral legitimacy and reduces regulatory desirability. Respondents who perceive a fictional home-sharing
platform to be fair consider it to be more legitimate and want it to be less regulated.
Research limitations/implications – Following established practices and reducing external validity,
the study uses a fictional scenario and a fictional company for the experimental vignette. The data collection
took place in the UK, prohibiting cultural comparisons.
Practical implications – The research is useful for home-sharing platform managers by showing how
they can boost moral legitimacy and decrease regulatory desirability through a strong focus on fairness. It can
also help policymakers and consumer protection advocates by providing evidence about regulatory
desirability and how it is affected by fairness perceptions.
Originality/value – The study adds to hospitality and tourism research by offering theoretically
meaningful and practically relevant conclusions about the importance of fairness in driving stakeholder
opinions about home-sharing platforms.
Keywords Sharing economy, Fairness, Regulation, Legitimacy, Ride-hailing, Home-sharing
Paper type Research paper
Introduction
By popularizing asset-sharing among private individuals, the so-called “sharing economy”
has ushered in a variety of technological, economic and societal advances (Hamari et al.,
2016; Malhotra and Van Alstyne, 2014). However, the rapid growth of the sharing economy
has garnered criticism for its disruption of traditional industries, ranging from transport
and tourism to logistics and finance (Einav et al., 2016; Gy odi, 2019, 2018; Zervas et al., 2017).
With their legitimacy called into question (Frenken and Schor, 2017), sharing economy
The research was funded by the Research Council of Norway within grant agreement 275347 “Fair
Labor in the Digitized Economy” and by the European Union’s Horizon 2020 Framework Program
within grant agreement 732117 “Ps2Share: Participation, Privacy and Power in the Sharing
Economy”. We want to thank the anonymous peer reviewers of the article as well as International
Journal of Contemporary Hospitality Management’s Editor-in-Chief Professor Fewzi Okumus for a
very constructive peer-review process that helped strengthen the paper.
Regulation of
home-sharing
platforms
Received 29 August 2019
Revised 20 March 2020
17 June 2020
13 August 2020
Accepted 13 August 2020
International Journal of
Contemporary Hospitality
Management
© Emerald Publishing Limited
0959-6119
DOI 10.1108/IJCHM-08-2019-0733
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