Perceived Usefulness, Ease of Use, Transaction Security and Financial Performance of Micro-Retailers in Onitsha Main Market: An Extended Tam Approach
Keywords:
E-payment Adoption, Financial Performance, Micro-Retailers, Technology Acceptance Model, Onitsha Main Market, Transaction SecurityAbstract
The adoption of electronic payment systems by informal market traders represents a major policy priority for the Central Bank of Nigeria as the cashless policy framework expands. This study assessed the predictive relationships among Perceived Usefulness, Perceived Ease of Use, and Transaction Security on the self-reported financial performance of registered micro-retailers in Onitsha Main Market, Anambra State, extending Davis' (1989) Technology Acceptance Model. Using a cross-sectional quantitative survey design, the study sampled registered micro-retailers selected from the Onitsha Market Amalgamated Traders Association membership registry through proportional stratified random sampling. Out of 300 structured questionnaires administered from a Yamane-derived sample frame of 351, 262 were returned and 250 were retained following completeness checks, producing a valid response rate of 83.3%. Exploratory factor analysis confirmed construct validity (KMO = 0.824, Bartlett's χ² = 1412.6, p < 0.001), while regression diagnostics established normality, linearity, homoscedasticity, error independence (Durbin-Watson = 1.95), and absence of multicollinearity (VIF range = 1.28 to 1.62). Multiple linear regression analysis revealed that Perceived Usefulness recorded the largest standardized regression coefficient predicting financial performance (β = 0.421, t = 5.803, p < 0.001), followed by Transaction Security (β = 0.318, t = 3.134, p = 0.003) and Perceived Ease of Use (β = 0.197, t = 2.068, p = 0.042). The extended TAM predictors jointly explained 63.5% of the variance in financial performance (R² = 0.635, Adjusted R² = 0.614, F(3, 246) = 142.545, p < 0.001). The study recommends that the Central Bank of Nigeria subsidize point-of-sale terminal acquisition for micro-scale market operators, Deposit Money Banks introduce zero-commission digital transaction windows, and trade associations integrate digital literacy and transaction reversal support into market governance frameworks.
Downloads
References
Adeoti, J. O., & Osotimehin, K. O. (2012). Adoption of point of sale terminals in Nigeria: Assessment of consumers' level of satisfaction. Research Journal of Finance and Accounting, 3(1), 1-6
Alabi, K., Osei, B., & Quartey, P. (2024). Regulatory context and digital payment adoption in West African informal trade. Journal of African Business, 25(2), 210-231. https://doi.org/10.1080/15228916.2024.2108441
Anambra State Ministry of Commerce. (2023). Survey report on digital payment adoption in Onitsha Main Market. Awka: Anambra State Ministry of Commerce Publications.
Bello, M. A., & Abubakar, S. I. (2022). Technology Acceptance Model and e-payment adoption among small business operators in Kano metropolis. Journal of Entrepreneurship and Business Innovation, 9(1), 45-61. https://doi.org/10.5296/jebi.v9i1.19820
Central Bank of Nigeria. (2022). Revised cash-less policy implementation guidelines. Abuja: Central Bank of Nigeria Publications. https://www.cbn.gov.ng
Chitungo, S. K., & Munongo, S. (2020). Extending the Technology Acceptance Model to mobile banking adoption in South Africa. Journal of Business Administration and Education, 12(1), 88-109.
Chukwu, B. E., Eze, C. C., & Okafor, I. N. (2022). Barriers to e-payment adoption among informal market operators: Evidence from Aba, Abia State. African Journal of Economic and Management Studies, 13(3), 401-418. https://doi.org/10.1108/AJEMS-09-2021- 0374
Creswell, J. W., & Creswell, J. D. (2018). Research design: Qualitative, quantitative, and mixed methods approaches (5th ed.). SAGE Publications.
Davis, F. D. (1989). Perceived usefulness, perceived ease of use, and user acceptance of information technology. MIS Quarterly, 13(3), 319-340. https://doi.org/10.2307/249008
Eze, G. P., & Amaefule, H. C. (2020). Digital payment systems and financial inclusion in Nigerian markets. International Journal of Finance and Economics, 25(4), 601-619. https://doi.org/10.1002/ijfe.1782
Eze, N. A., Obi, C., & Nwosu, P. C. (2023). Cash redesign crisis and business liquidity in South- East Nigeria. Journal of African Economics, 32(4), 314-329. https://doi.org/10.1093/jae/ejad012
Fishbein, M., & Ajzen, I. (1975). Belief, attitude, intention, and behavior: An introduction to theory and research. Addison-Wesley.
Gefen, D., Karahanna, E., & Straub, D. W. (2003). Trust and TAM in online shopping: An integrated model. MIS Quarterly, 27(1), 51-90. https://doi.org/10.2307/30036519
Ihejirika, C. P., & Nwosu, A. O. (2023). Extended TAM analysis of e-payment adoption and financial performance: Evidence from Ogbete Market, Enugu State. Nigerian Journal of Business Administration, 20(1), 77-96.
Mbah, S. E., & Iheanachor, N. (2019). Onitsha Main Market and regional trade dynamics in South-East Nigeria. West African Journal of Business and Management Sciences, 8(2), 193-211.
Mensah, E., Adjei, S., & Boateng, A. (2020). Technology Acceptance Model determinants of mobile payment adoption among market traders in Kumasi, Ghana. African Finance Journal, 22(1), 33-52.
Mwangi, J., & Kariuki, N. (2021). Mobile money adoption and financial performance of micro- enterprises in Nairobi informal markets. Journal of Financial Regulation and Compliance, 29(3), 289-306. https://doi.org/10.1108/JFRC-08-2020-0082
National Bureau of Statistics. (2021). MSME National Survey 2021: Summary report. Abuja: National Bureau of Statistics. https://www.nigerianstat.gov.ng
Nigeria Inter-Bank Settlement System. (2023). NIBSS industry consumer report: Electronic payment statistics 2023. Lagos: NIBSS. https://www.nibss-plc.com.ng
Nunnally, J. C. (1978). Psychometric theory (2nd ed.). McGraw-Hill.
Okonkwo, C. N., & Nwosu, O. P. (2021). Mobile payment adoption and cash flow efficiency among small traders in Onitsha. Anambra Journal of Commerce and Management, 5(1), 18-34.
Oluwaseun, T. A., Adeyemi, B. O., & Folarin, O. D. (2019). USSD banking and profit performance of small market traders in South-West Nigeria. Journal of Economics and Sustainable Development, 10(18), 91-103.
Onitsha Market Amalgamated Traders Association. (2023). Official membership registration roll. Onitsha: OMATA Secretariat.
Ozili, P. K. (2018). Impact of digital finance on financial inclusion and stability. Borsa Istanbul Review, 18(4), 329-340. https://doi.org/10.1016/j.bir.2017.12.003
Pavlou, P. A. (2003). Consumer acceptance of electronic commerce: Integrating trust and risk with the Technology Acceptance Model. International Journal of Electronic Commerce, 7(3), 101-134. https://doi.org/10.1080/10864415.2003.11044275
Yamane, T. (1967). Statistics: An introductory analysis (2nd ed.). Harper and Row.
