Mobile phones usage in micro enterprise in Tanzania and its impact on their performance

Abstract

This study examines the mobile phone usage and its impact on micro enterprise performance in Tanzania. The study was conducted at Moshi Municipality, Kilimanjaro Region, Tanzania. A descriptive research design was employed whereby a total of 70 micro entrepreneurs who are belonging to any of the following categories: secondhand clothing, shoes and handbags, food vendors and saloon owners were randomly selected. Questionnaire and interview techniques were used as research tools in gathering quantitative and qualitative data. Quantitative data derived from closed ended questionnaires were analyzed into percentages while qualitative analysis was done through content analysis to identify, examine, interpret the pattern and themes from the interview and open ended questionnaires. Findings show that mobile phone services contribute positively to micro enterprises business performance. 87% of the respondents used mobile phones services mainly for business purposes. Furthermore, findings revealed that the more the use of mobile phone services by micro entrepreneurs the more the business successes. However the study shows low perceived problems of using mobile phones were encountered by micro entrepreneurs. The study recommends that there is a need to have an awareness campaign on the uses of mobile phones in business activities at grassroots level.