An empirical investigation of telephony impact on business performance and regional development: evidence from small businesses in Nigeria.

Adeola-Omole, Omowunmi Senami B.

Abstract

This thesis reports on a study conducted to investigate the nature of the relationship between increased access and use of telephony, small business performance and regional development in a developing country context. This study presents detailed evidence drawn from a sample of 198 small businesses in Nigeria. The research conceptualises and empirically tests a research model which incorporates three theories in order to connect and explain how the use of telephony by small businesses enhances business performance and contributes to regional development. This is based on the existing literature of small business development; telecommunications (increased access and use of telephony) by small business; and regional development. The research data was gathered through a questionnaire of owner-managers of small businesses. This data was supplemented by the use of photographs. The data generated was analysed using Logistic Regression techniques with the aid of SPSS V.17 statistical package. In addition, the study used Visual Data Analysis and Interviews to corroborate the outcomes of the statistical analyses. The regression results suggest that there is a statistically significant and positive relationship between the impact of using telephony in business processes and enhanced business performance. In particular, it was identified that the extent of the influence of using telephony in the acquisition of new customers; the extent of the influence of using telephony to reduce the time it takes to make important business decisions; and the extent of the influence of using telephony in acquiring better market prices are critical determinants that explains enhanced competitive advantage of small businesses. In addition, the extent of the influence of using telephony in the acquisition of new customers, and the extent of the influence of using telephony to reduce the time it takes to make important business decisions are critical determinants that explains enhanced profitability of small businesses. This evidence is corroborated by the analysis of the visual data and textual description of the owner-managers interviewed who noted that the influence of using telephony have enhanced their business performance. Furthermore, the regression results suggest there is a statistically significant and positive relationship between the growth outcomes of increased access and use of telephony by small businesses and regional development of the business location. In particular, the extent of influence of use of telephony by small businesses to create new jobs, the extent of influence of use of telephony by small businesses on improved business performance, and the extent of influence of use of telephony by small businesses on significant business growth are critical determinants that explains regional development of the small business location. Finally, given the important role small businesses play in developing countries, such as Nigeria, this study help provides a clearer explanation on the nature of the relationship between increased access and use of telephony, small business performance and regional development that could be used to improve the growth of entrepreneurial activities of small businesses which are precursors of economic growth as well as improve infrastructural services such as telecommunications that are essential for regional development.

Citation

ADEOLA-OMOLE, O.S.B. 2013. An empirical investigation of telephony impact on business performance and regional development: evidence from small businesses in Nigeria. Robert Gordon University, PhD thesis.

• Thesis Type: Thesis
• Deposit Date: Jan 16, 2014
• Publicly Available Date: Jan 16, 2014
• Public URL: http://hdl.handle.net/10059/926
• Award Date: Jun 30, 2013