ASSESSING THE IMPACT OF ELECTRONIC BANKING ON SMES
ABSTRACT
The use of electronic banking has become widespread in Nigeria with SMEs adopting it as customers’ relations strategy for improved operations and service delivery.
The major focus of this paper is on assessing the impact of electronic banking on the small medium enterprises. Chi-square test was used to test the Hypothesis formed.
The results of the findings and the hypotheses tested showed that the result from this investigation proved that there is a significant relationship between Automated teller machine services, mobile banking and point of sale services on Small medium enterprises. Thus, customers have been able to save considerate time with relatively leaser costs to the customers. The outcomes of this study would help the management of SMEs to develop effective strategic planning for the future of electronic banking tools in developing countries like Nigeria. Again, there is the need to sensitize the service provider on degree at which SMEs use or adopt electronic banking so as to improve their service delivery and operations.
ABSTRACT
CHAPTER ONE
INTRODUCTION
1.1 Background of the study
1.2 Statement of the Problem
1.3 Objectives of the study
1.4 Research Hypotheses
1.6 Significance of the study
1.7 Scope and limitation of the study
1.8 Definition of terms
CHAPTER TWO
REVIEW OF RELATED LITERATURE
2.1 Conceptual Framework
2.1.1. Concept of electronic banking
2.1.2 Electronic Banking Products/Services Automated Teller Machines (ATMs) Internet Banking
2.1.3 The development of electronic banking in Nigeria
2.1.4 Challenges of Electronic Banking
2.1.5 Importance of Electronic banking
2.1.6 Small medium enterprises
2.2 Theoretical framework
2.2.1 The theory of innovation in banking systems
2.2.2 Classical theories of Small medium enterprise
2.3 Empirical Review
CHAPTER THREE
RESEARCH METHODOLOGY
3.1 Introduction
3.2 Research design
3.3 Research settings
3.4 Sources of Data
3.5 Population of the study
3.6 Sample size determination
3.7 Sample size technique
3.8 Instrumentation
3.9 Reliability
3.10 Validity
3.11 Method of Data Collection
3.12 Method of Data Analysis
3.13 Ethical consideration
CHAPTER FOUR
DATA ANALYSIS, PRESENTATION AND INTEPRETATION
4.1 Analyses of Data
CHAPTER FIVE
SUMMARY CONCLUSION AND RECOMMENDATION
5.1 Summary
5.2 Conclusions and Recommendations
Reference
CHAPTER ONE
INTRODUCTION
1.1 Background of the study
Most countries at all levels of development, small and medium scale enterprises (Small medium enterprises) have an important role to play in achieving the sustainable development goals, by promoting inclusive and sustainable economic growth, providing employment and decent work for all, promoting sustainable industrialization, fostering innovation, creating values and reducing income inequalities (OECD, 2017). For developing nations, sustainable economic growth is real poverty reduction. Thus, the interest in Small medium enterprises should be greater in developing countries due to high level of poverty and flexibility of Small medium enterprises as compared to other ventures.
In Nigeria, a developing nation with over 160 million people and over 65% of their populace being below 35 years (SMEDAN/NBS MSME Survey, 2013), it has become imperative for policy makers to seek development of national economy through Small medium enterprises rather than rely on the oil sector. This change in Nigeria’s economic policy direction is not limited to the depleting state of oil reserve but also because of the abundant potentials; availability of land, cheap labor, etc. of Small medium enterprises. Though the change of economic policies in favor of the Small medium enterprises has seen a considerable increase in the number of available Small medium enterprises, the contribution of this sector to the Gross domestic product (GDP) of Nigeria is low. The Education, wholesale/trade and manufacturing sectors which have the highest distribution of Small medium enterprises do not account for up to 50 % of independent contribution to the national GDP of Nigeria (SMEDAN/NBS MSME Survey, 2013). This low rate of contribution to the national GDP of Nigeria could be attributed to lack of access to finance, multiple taxation, access to market and obsolete technology that affect the ease of doing business in Small medium enterprises (SMEDAN/NBS MSME Survey, 2013). Inability of Small medium enterprises to access information communication technology (ICT) is viewed as the major challenge of Small medium enterprises to developing strong operations and expand their businesses (Dutta & Mia, 2009).
Economic sectors that apply advances in ICT are characterized by high level of efficiency, ease and convenience of operation. Inventions of the internet and mobile technology are key information communication technologies that have enhanced the manner of doing business in recent years. The growing number of applicants for internet has also been very crucial in product marketing and distribution in many businesses (Yang, Li, Ma, & Chen, 2018).
