Abstract: Traditional manufacturers can take part in the sharing economy by renting products to consumers through sharing platforms. We develop an analytical framework consisting of two manufacturers and a sharing platform to study the effect of product sharing on competing manufacturers’ entry and pricing strategies. On the one hand, when the high-quality manufacturer works with the sharing platform, if the perceived quality of renting the high-quality product is larger than that of purchasing the low-quality product, it shows that the high-quality manufacturer will benefit and should enter the sharing market when the rental price is moderate. However, if the perceived quality of renting a high-quality product is smaller than that of purchasing a low-quality product, both manufacturers will always suffer losses; thus, the high-quality manufacturer should not provide sharing. Consequently, when the high-quality manufacturer chooses to share, the quality advantage should be maintained. On the other hand, when the low-quality manufacturer works with the sharing platform, it also finds that the low-quality manufacturer will always be better off from a moderate rental price. This implies that the low-quality OEM has more interest in offering product sharing if the perceived quality of renting high-quality product is smaller than that of purchasing low-quality product.