EFFECTS OF E-PAYMENT SYSTEM ON SMALL AND MEDIUM ENTERPRISES (SME) PERFORMANCE IN KANO METROPOLIS: MEDIATING ROLE OF PERCEIVED EASE OF USE
Abba Ibrahim Baba, Bello Sabo, PhD and Sahman Ladan, PhD
Volume 4 Issue 1
Abstract
The main objective of this paper is to examine the effect of e-payment system on the performance of small and medium scale enterprises in Kano Metropolis. Survey research design was employed. Data for the study was collected through questionnaires. A sample size of 303 small and medium enterprises from Kano metropolis was used to collect data for the research work. Hayes process macro of SPSS V. 25 was applied to analyze the mediating effect of the PEOU on the performance of SME in Kano metropolis. Three independents variables was used; POS. Mobile banking and Internet banking, Perceived Ease of Used as Mediating variable while SME Performance served as Dependent variable. Findings from the study show that; Total effect and indirect effect are significant on the performance of SMEs in Kano metropolis, while direct effect has insignificant effect on the performance of SMEs in Kano metropolis. Three Hypotheses were formulated in null form. The study found that PEOU has full mediation effect on e-payment and performance of SMEs in Kano metropolis. The study recommends that SME owners and managers should focus and improve on the e-payment channels such as POS, Internet banking and mobile banking as they all found to be significant. It is also recommended that banks should pay attention to more user friendly interface allowing customers to fell free of mental effort when using e-payment system. It also recommends that policy makers should create more awareness one-payment system. Keyword: E-Payment System, Performance, Cashless Policy, Small and Medium Enterprises.
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