The Effect of Mobile Banking on the Profitability of SMEs: A Case Study of Gombe State
- Project Research
- 1-5 Chapters
- Abstract : Available
- Table of Content: Available
- Reference Style:
- Recommended for :
- NGN 5000
Background of the Study
Mobile banking has transformed the way businesses and individuals interact with financial services. For small and medium-sized enterprises (SMEs) in Nigeria, mobile banking offers an accessible and cost-effective means of managing financial transactions, making payments, and receiving funds. Gombe State, located in northeastern Nigeria, has witnessed significant growth in mobile banking adoption among local SMEs, driven by increased mobile phone penetration and the desire for efficient financial management (Aminu & Idris, 2024).
Mobile banking allows SMEs to access banking services remotely, without the need for physical visits to bank branches. This convenience reduces operational costs, saves time, and facilitates easier access to credit and financial services, which can positively impact SME profitability. However, while mobile banking offers numerous benefits, it also presents challenges such as cybersecurity risks, service reliability, and digital illiteracy among business owners. This study investigates the effect of mobile banking on the profitability of SMEs in Gombe State, analyzing both the advantages and challenges faced by these businesses.
Statement of the Problem
Despite the growing use of mobile banking in Nigeria, the effect of mobile banking adoption on the profitability of SMEs, particularly in Gombe State, remains underexplored. Many SMEs in the region face significant barriers to accessing formal banking services, and while mobile banking offers a potential solution, its full impact on business profitability is yet to be fully understood. This study seeks to evaluate how mobile banking affects the profitability of SMEs in Gombe State and identify the challenges these businesses encounter in adopting mobile banking services.
Objectives of the Study
1. To assess the impact of mobile banking on the profitability of SMEs in Gombe State.
2. To examine the challenges SMEs face in adopting mobile banking services.
3. To provide recommendations for improving the mobile banking experience for SMEs in Gombe State.
Research Questions
1. How does mobile banking impact the profitability of SMEs in Gombe State?
2. What challenges do SMEs in Gombe State face in adopting mobile banking services?
3. What strategies can SMEs in Gombe State use to maximize the benefits of mobile banking?
Research Hypotheses
1. Mobile banking adoption has a significant positive impact on the profitability of SMEs in Gombe State.
2. The challenges associated with mobile banking adoption negatively affect the profitability of SMEs in Gombe State.
3. SMEs that adopt mobile banking report higher operational efficiency and profitability.
Scope and Limitations of the Study
The study focuses on SMEs in Gombe State and examines the impact of mobile banking on their profitability from 2023 to 2025. Limitations include potential biases in self-reported data from SMEs and the difficulty in isolating mobile banking's impact from other factors influencing profitability.
Definitions of Terms
• Mobile Banking: The use of mobile phones to access banking services, including account management, payments, and money transfers.
• SMEs (Small and Medium Enterprises): Businesses that operate on a smaller scale, typically with fewer employees and lower revenue than larger corporations.
• Profitability: The ability of a business to generate profit from its activities, measured by revenue, costs, and expenses.
Related Project Materials
Coverage of Public Health Issues by Local Media in Maiduguri Metropolitan LGA, Borno State
Background of the Study
Public health issues, particularly in conflict-affected regions such as Maiduguri Metropolitan L...
An Examination of Breastfeeding Education and Its Effect on Infant Feeding Practices in Adamawa State
Background of the Study
Breastfeeding is widely recognized as the optimal feeding practice for infants, providing essential nutrients tha...
The Role of Public Relations in Enhancing Cooperative Society Activities: A Study of Fika LGA, Yobe State
Chapter One: Introduction
An examination of ATM service quality improvement on customer retention in banking: a case study of AB Microfinance Bank
Background of the Study
ATMs are a critical channel through which customers interact with banks, and their service quality directly influ...
The effect of mentorship on students' interest in STEM careers in Hong LGA, Adamawa State
Background of the Study
Mentorship plays a crucial role in shaping students’ career aspirations and fostering intere...
THE INFLUENCE OF THE HOME ENVIRONMENT ON THE INTELLECTUAL AND SOCIAL SKILLS DEVELOPMENT OF PRE-PRIMARY CHILDREN IN AKINYELE AREA OF OYO STATE
Background to the problem
Early years are the most crucial period for the development of the child and the home e...
The Impact of Financial Accounting Training on Business Performance in Birnin Kebbi LGA
Background of the Study
Financial accounting plays a critical role in the success and sustainability of small and medium enterprises (SME...
The effect of social institutions on early child marriage in Ijebu-Ode Local Government Area, Ogun State.
Background of the study
Social institutions in Ijebu-Ode play a significant role in shaping societal norms and practices,...
An appraisal of moral education’s impact on students’ willingness to engage in volunteer services in Maiduguri LGA, Borno StateAn appraisal of moral education’s impact on students’ willingness to engage in volunteer services in Maiduguri LGA, Borno State
Background of the Study
Moral education is instrumental in shaping students' values and social behaviors, particularly...
An Evaluation of Nutrition Education Programs Among Healthcare Workers in Gombe State
Background of the Study
Proper nutrition is a cornerstone of public health, significantly influencing p...
