Evaluating the adoption of e-banking services by SMEs in the common monetary area

Abstract

There has been limited study from a southern-African perspective investigating factors that affect the adoption of e-banking specific to small and medium enterprises (SMEs) in developing African economies. To date, little is known about SME uptake of e-banking in the southern African common monetary area (CMA), comprising South Africa, Lesotho, Namibia, and Eswatini. This knowledge gap is problematic for banks in providing SME support for the transition to e-banking, given the current move by banks toward embracing digital strategies. This study focused on a single bank with a large footprint in the CMA, intending to add to the body of academic knowledge regarding the adoption of e-banking services by SMEs. It employed a qualitative methodology involving one-on-one, semi-structured, open-ended interviews with purposefully selected Bank X staff in each country of the CMA, using the literature reviewed to identify themes relevant to the proposed conceptual model. The conclusions of this research have led to a framework for e-banking adoption. A framework such as this may positively impact the profitability and sustainability of an SME by ensuring the adoption of e-banking services and utilization of available financial products to improve business opportunities via the e-banking channels of Bank X.

Keywords: {'name': 'common monetary area'}, {'name': 'e-banking'}, {'name': 'branch banking'}, {'name': 'technology adoption'}

Authors & affiliations

Gavin Moss
Affiliation not supplied

Peta Thomas
Affiliation not supplied

Deposited references

Supplied references, not a list of publications citing this article.

DOI: 10.1504/IJITM.2016.073915

Agwu, E. (2016). ICT diffusion, adoption and strategic importance in Nigerian SMEs. International Journal of Research in Management, Science & Technology, 4(3), 64-75.

DOI: 10.1257/jep.24.3.207

DOI: 10.1016/j.ijinfomgt.2017.01.002

Alsayed, A., & Bilgrami, A. (2017). E-banking security: Internet hacking, phishing attacks, analysis and prevention of fraudulent activities. Int.J.of Emerg.Techn.and Adv.Activ, 7(1), 109-115.

DOI: 10.2139/ssrn.3699076

DOI: 10.1007/s10842-018-0283-6

DOI: 10.1002/mar.21326

DOI: 10.6000/1929-7092.2018.07.47

Box, S., & Lopez-Gonzalez, J. (2017). The future of technology: Opportunities for ASEAN in the digital economy. SI Affairs, & A.O.Nations, Global Megatrends: Implications for the ASEAN Economic Community, , 37-60.

DOI: 10.69554/YMCD3296

DOI: 10.1016/j.jretconser.2015.10.007

Creswell, J. W. (2013). Steps in conducting a scholarly mixed methods study. ().

South Africa's National e- Strategy

towards a thriving and inclusive digital future, (2017).

Day, E. (1997). Qualitative research course emphasizes understanding merits and limitations. Marketing News, 31(16), 9. https://search.proquest.com/docview/216406710

Du Plooy, G. M. (2009). Communication research: Techniques, methods and applications. Juta and Company Ltd.

DOI: 10.11114/bms.v3i3.2500

Eswatini Communications Commission. (2018). Universal access and service regulatory strategy for broadband and broadcasting services. (). https://www.esccom.org.sz/universalservice/Universal_Service_Strategy.pdf

DOI: 10.69554/KGOA5180

Government of Lesotho. (2012). National Strategic Development Plan 2012/2013-2016/2017., 1-194.

National broadband policy, (2020). http://www.mict.gov.na/documents/32978/329831/Minister%27s+note+for+BB+Launch.pdf/2ade0080-d687-4ad2-b1f0-62a5d92a3734

International Chamber of Commerce. (2018). Access to trade finance. ().International Chamber of Commerce. https://iccwbo.org/global-issues-trends/banking-finance/access-trade-finance/

DOI: 10.5379/urbani-izziv-en-2017-28-01-004

DOI: 10.18844/gjit.v9i1.3758

DOI: 10.18844/gjit.v8i2.3468

DOI: 10.21694/2379-1047.17002

Khanna, S., & Martins, H. (2018, Apr 13,). Six digital growth strategies for banks. McKinsey Insights, https://search.proquest.com/docview/2372132601

DOI: 10.1108/IJIS-08-2018-0083

DOI: 10.1787/400c491d-en

DOI: 10.1108/IJBM-08-2016-0112

DOI: 10.1787/d60e254f-en

DOI: 10.1002/9781119610038.ch4

Mandhare, S. A. (2019). Role Of Information Technology In The Banking Sector With Reference To E-Banking Mobile Applications Journal of Global Economy, 15(1 (Special), 62-68.

Mangwendeza, K. K. (2020). An investigation of the relationship between balance of payments and economic growth in Namibia

DOI: 10.9790/487X-1810058083

DOI: 10.1108/IJBM-11-2016-0181

DOI: 10.1108/JRIM-01-2018-0026

DOI: 10.17512/pjms.2017.16.1.11

Ministry of Commerce, Industry and Trade. (2016). National policy of the kingdom of Swaziland on the development of small and medium enterprises. ().

Ministry of Industrialisation, Trade and SME Development. (2016). National policy on micro, small and medium enterprises in Namibia. ().

Ministry of Trade and Industry, Cooperatives and Marketing. (2008). The state of small enterprise in Lesotho. ().Government of Lesotho Maseru.

DOI: 10.1016/j.techfore.2017.12.019

Muriithi, S. (2017). African small and medium enterprises (SMEs) contributions, challenges and solutions. International Journal of Research & Reflection in Management Science, 5(13), 37-48.

DOI: 10.1108/JKM-09-2018-0603

DOI: 10.1016/j.iref.2017.08.004

DOI: 10.1016/j.bir.2018.04.003

DOI: 10.1108/JEIM-09-2016-0158

DOI: 10.1002/9781119551973.ch65

DOI: 10.1080/0376835X.2019.1581053

DOI: 10.1108/MD-10-2017-0923

Nsouli, S. M., & Schaechter, A. (2002). Challenges of the 'e-Banking revolution'. Finance & Development, 39(3), 48. https://search.proquest.com/docview/209428437

DOI: 10.1080/0376835X.2019.1610359

DOI: 10.1002/j.1681-4835.2017.tb00586.x

DOI: 10.1109/HICSS.2013.70

DOI: 10.1080/0965254X.2016.1258004

Rathogwa, B. (2018). SME adoption of digital banking in South Africa https://hdl.handle.net/10539/26088

Sandada, M., Simbarashe, N., & Shamhuyenhanzva, R. (2016). determining the impact of selected success factors on the adoption of e-Banking in the Zimbabwean banking industry. Euro Economica, 35(2), 102-118. https://www.ceeol.com/search/article-detail?id=498532

Sanders, W. B., & Pinhey, T. K. (1983). The conduct of social research. Holt, Rinehart & Winston.

Seidman, I. (2019). Interviewing as qualitative research: A guide for researchers in education and the social sciences. Teachers College Press.

South African Reserve Bank. (2001). Position paper on Common Monetary Area (CMA) cross-border payments. (). Pretoria, South Africa: South African Reserve Bank. https://www.resbank.co.za/RegulationAndSupervision/NationalPaymentSystem(NPS)/Legal/Documents/Position%20Paper/PP2001_01.pdf

Stald, G., Mulgan, G., Martins, F., Leite, C., Freitas, J. d., Cardoso, S., & Abrantes, S. L. (2014). Unified theory of acceptance and use of technology (UTAUT): a decade of validation and development. Revista Brasileira De Informatica Na Educação, 27(1), 80-88.

Stijns, J., & Pelletier, A. (2019). The state of SME banking in Africa. (). London: Making finance work for Africa.

DOI: 10.5923/j.ijfa.20120101.02

DOI: 10.4337/roke.2019.04.09

Tracy, S. J. (2019). Qualitative research methods. John Wiley & Sons, Incorporated.

DOI: 10.23919/CISTI.2017.7975880

United Nations DESA, United Nations. (2018). World Economic Situation and Prospects 2018. United Nations Fund for Population Activities.

DOI: 10.1007/978-3-030-27285-2_2

van Zyl, L. (2003). South Africa's experience of regional currency areas and the use of foreign currencies. Regional currency areas and the use of foreign currencies (pp. 134-139). Bank for International Settlements.

DOI: 10.2307/30036540

DOI: 10.2991/teams-19.2019.63

World Bank Group. (2016). World development report 2016: Digital dividends. World Bank. 10.1596/978-1-4648-0671

DOI: 10.1108/IJBM-06-2018-0142

DOI: 10.1016/j.chb.2010.01.013

Revised schedule 1 of the national definition of small enterprise in south Africa, (2019). https://www.gov.za/sites/default/files/gcis_document/201903/423041gon399.pdf