Sharing economy: towards a hybrid regulation theory

This paper examines the regulatory challenges and theoretical shortcomings in the governance of the sharing economy (SE).While earlier research focused on its disruptive innovation, recent research stresses the need for balanced governance frameworks.This research establishes a multi-tiered hybrid regulatory framework based on emerging literature, encompassing adaptive governance, game-theoretic models, and redistributive justice.The study identifies three main key issues in the SE: (1) negative externalities & consumer and supplier protection, (2) unfair competition, innovation hurdles and slow regulatory response, and (3) fragmented regulatory landscapes.These categories are aligned with five strategic alternative regulatory approaches: (1) legal formalism, (2) redistributive justice, (3) self-regulation through industry associations, (4) game-theoretic interaction, and (5) experimental governance.These approaches have not been comprehensively examined in existing literature.The study aims to advance SE by proposing a layered hybrid regulatory model that bridges existing gaps, provides implementation recommendations, identifies limitations, and offers a practical roadmap for SE regulation.