Essay: Why use Mobile Payment System
The study conducted in Kenya was to establish the how the use of mobile phones for payments had affected in the growth and success of small businesses. Since there is no documentation to show how this method has influenced the growth of small businesses it is important to conduct one so that the government as well as the service providers should see how they should improve their services in order to better the services. Such a study is also good to the entrepreneur as it gives him or her insight in to the benefits of employing this mode of payment in his or her business. It is important to understand the impact this new technology has to the business as well as the challenges it may pose. The starting point for the study is to understand why M-pesa and Zap modes of payments are gaining popularity that easily. It is used to try to understand the factors that push people to go towards using this mode of payment. (Gefen & Straub 2000)
Since Safaricom launched their service back in March 2007, many people have registered to start using this service. The good thing about this service is that it does not require one to have a bank account to be eligible for the service. Some people have even gone a step further and started using this service as a bank account by depositing their money there. The service is very good as it allows one to send and receive money to relatives and friends, pay bills, buy goods and services and buy airtime to ones phone or to another person’s. (Safaricom 2010) It requires the basic techniques of operating a mobile phone to be able to use this service. For one to be able to use this service he or she has to register with the service provider free of charge. Operators of small businesses in Kenya have embraced this method of payment because it is easy.