Submit your papersSubmit Now
For Enquiries: [email protected]
IIARD LogoIIARD

Effect of Mobile Accounting Applications on Record-Keeping Efficiency of Nigerian Microenterprises

Adedoyin Lukman, Adebayo, Adeniyi Muritala, Oyediran Leye Sherifdeen

Abstract

Microenterprises in developing economies, particularly Nigeria, frequently face challenges with inefficient record-keeping, hindering their growth and access to finance. This study investigates the effect of mobile accounting applications on the record-keeping quality of Nigerian microenterprises, focusing on the roles of app usability, training, internet connectivity, and cost. The research is anchored on the Technology Acceptance Model (TAM), the Unified Theory of Acceptance and Use of Technology (UTAUT), and the Diffusion of Innovations Theory, positing that these factors significantly influence record-keeping quality. A survey research design was adopted, collecting data from 294 owners/managers of microenterprises utilizing mobile accounting applications in Southwest Nigeria through a structured questionnaire. The collected data were analyzed using descriptive statistics, Pearson Product-Moment Correlation, and Multiple Regression Analysis. The findings reveal that all four independent variables, app usability, training, internet connectivity, and cost, are significant positive predictors of record- keeping quality. App usability emerged as the most influential factor (?=0.346, p<0.001), indicating that ease of use and satisfaction with the application are crucial. Training was identified as the second strongest predictor (?=0.301, p<0.001), underscoring the importance of structured knowledge transfer. Internet connectivity (?=0.244, p<0.001) and cost (?=0.190, p<0.001) also significantly predicted record-keeping quality. The regression model explained a substantial 72.4% of the variance in record-keeping quality (R2=0.724). This study concludes that while mobile accounting applications offer immense potential, their effectiveness in improving record- keeping among Nigerian microenterprises is contingent upon user-centric design, adequate training, reliable internet infrastructure, and affordable solutions. The results rein

Keywords

Mobile Accounting ApplicationsRecord-Keeping QualityMicroenterprisesApp

References

Accenture. (2018). The Rise of Digital Payment Ecosystems: A Global Perspective. Acs, Z. J., & Audretsch, D. B. (2003). Innovation and firm performance: An empirical analysis. Edward Elgar Publishing. Adebayo, O. O., & Olaniyi, O. K. (2021). Mobile financial applications adoption and performance of micro-businesses in Nigeria. Journal of Entrepreneurship and Business Innovation, 5(2), 45-60. Agarwal, R., & Prasad, J. (1999). Are individual differences germane to the acceptance of new information technologies? Decision Sciences, 30(2), 361-391. Ajemunigbohun, S. S., Oreshile, S. A., & Alli, N. G. (2018). Internal Marketing, Salesforce Performance And Service Delivery: Empirical Evidence From The Nigerian Insurance Industry. Annals of the University of Craiova, Economic Sciences Series, 1(46). Akbar, A., & Ahmad, S. (2021). The impact of mobile accounting applications on financial performance of small and medium enterprises. International Journal of Accounting and Financial Management Research, 11(1), 1-12. Al-Adwan, A. S., & Al-Debei, M. M. (2020). Mobile banking adoption: An empirical investigation of the factors influencing its acceptance in Jordan. Journal of Retailing and Consumer Services, 52, 101911. Alli, N. G., & Ganiyu, K. (2021). Knowledge, attitude and perception of artificial intelligence and its application in the key operations of insurance in Nigeria. Nigerian Journal of Risk and Insurance, 11(1), 1-19. Alli, N. G., & Ganiyu, K. (2025). Empowering insurance consumers in Nigeria: exploring the interplay between financial literacy, trust, and decision-making. The Journal of Risk Management and Insurance, 29(1), 17-46. Alli, N. G., Ganiyu, K., & Aina, J. (2020). Place of Nigerian insurance industry in cryptocurrency insurance as an emerging market. ESUT Journal of Social Sciences, 5(3). Brown, C., & Davis, L. (2021). Freemium models in mobile accounting software: Adoption drivers and challenges for micro-businesses. Journal of Small Business Management, 60(3), 567- Bwisa, H. M., & Gachunga, H. G. (2020). The role of training on adoption of mobile money services among small and medium enterprises in Kenya. International Journal of Business and Management, 15(1), 1-10. Castells, M. (2010). The Rise of the Network Society: The Information Age: Economy, Society, and Culture Vol. I. Wiley-Blackwell. Chen, Y., & Fang, Y. (2017). Financial Management for Small and Medium Enterprises. Routledge. Chen, Y., Wang, Y., & Li, J. (2020). Challenges and opportunities of cloud accounting for SMEs. Journal of Cloud Computing, 9(1), 1-15. Compeau, D. R., & Higgins, C. A. (1995). Computer self-efficacy: Development of a measure and initial test. MIS Quarterly, 19(2), 189-211. 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. Deloitte. (2019). Digital Transformation in Small Business: A Global Survey. Dlamini, N., & Ndlovu, S. (2021). Factors influencing the adoption of mobile accounting applications by micro-enterprises in South Africa. African Journal of Business Management, 15(7), 188-199. Garcia, M., & Rodriguez, J. (2022). Data completeness in financial records: A critical review. Accounting, Auditing & Accountability Journal, 35(6), 1450-1470. Gbenga, A. N. (2024). Business risk management ideology and entrepreneurial development of students in tertiary institutions in Southwestern, Nigeria. Journal of Technology Management and Business, 11(1), 32-48. Gomez, A., & Perez, L. (2021). The impact of internet connectivity on digital business adoption in rural areas. Journal of Rural Studies, 82, 10-20. International Monetary Fund (IMF). (2019). Small and Medium Enterprises (SMEs) and Financial Inclusion. International Organization for Standardization (ISO). (2018). Ergonomics of human-system interaction , Part 11: Usability: Definitions and concepts (ISO 9241-11:2018). International Telecommunication Union (ITU). (2021). Measuring Digital Development: Facts and Figures. Johnson, R., & Williams, S. (2022). The strategic importance of accurate record-keeping for small businesses. Journal of Business Strategy, 43(1), 1-10. Kaplan, R. S., & Norton, D. P. (1996). The Balanced Scorecard: Translating Strategy into Action. Harvard Business Press. Kauffman, R. J., & Riggins, F. J. (2012). Information Technology and the Future of the Firm. MIT Press. Khan, A., & Ali, S. (2022). Mobile technology adoption in micro-enterprises: A systematic review. Journal of Global Entrepreneurship Research, 12(1), 1-20. Kim, J., & Lee, S. (2020). The effect of digital literacy training on small business performance. Information Technology & People, 33(3), 789-805. Kotler, P., & Keller, K. L. (2016). Marketing Management (15th ed.). Pearson Education. Kumar, R., & Sharma, P. (2022). Usability challenges in mobile applications for informal sector businesses in India. Journal of Developing Economies, 10(4), 321-335. Lee, J., & Kim, H. (2021). Data accuracy in financial reporting: A review of empirical evidence. Accounting Review, 96(5), 1-20. Muturi, W., & Kibui, A. (2020). Factors influencing adoption of mobile accounting solutions by micro and small enterprises in Kenya. International Journal of Research in Business and Social Science, 9(4), 11-20. Mwangi, J. K., & Kariuki, S. N. (2020). Financial record keeping practices and performance of micro and small enterprises in Kenya. Journal of Economics and Finance, 11(2), 1-10. Nguyen, T. H., & Tran, V. T. (2022). The impact of mobile application usability on user satisfaction and business performance in Vietnam. Journal of Asian Business and Economic Studies, 29(1), 1-15. Nielsen, J. (1993). Usability Engineering. Morgan Kaufmann. Opoku, S. N., & Mensah, I. (2020). The effect of financial literacy training on record-keeping practices of micro-entrepreneurs in Ghana. Journal of African Business, 21(4), 485-500. Organisation for Economic Co-operation and Development (OECD). (2021). OECD Skills Outlook 2021: Learning for Life. OECD Publishing. Orodho, J. A. (2017). Research Methods for Small and Medium Enterprises. Longhorn Publishers. Oyelaran-Oyeyinka, B., & Lal, K. (2020). The Digital Divide: The Internet and Mobile Technology in Africa. Routledge. Patel, S., & Singh, A. (2020). Timeliness of financial reporting in small and medium enterprises: An empirical study. International Journal of Accounting and Finance, 10(3), 289-305. Pham, T. Q., & Nguyen, H. M. (2021). Factors affecting the adoption of e-accounting systems by small and medium-sized enterprises in Vietnam. Journal of Asian Finance, Economics and Business, 8(3), 85-94. Rogers, E. M. (2003). Diffusion of Innovations (5th ed.). Free Press. Smallbone, D., & Welter, F. (2015). Entrepreneurship and Small Business Development in Post- Socialist Economies. Routledge. Smith, J., & Jones, A. (2023). Cloud-based accounting software adoption and its impact on financial transparency. Journal of Digital Accounting Research, 15(1), 1-18. Thong, J. Y. L., & Yap, C. S. (1995). CEO characteristics, organizational characteristics and information technology adoption in small businesses. Omega, 23(4), 429-442. UNCTAD. (2020). Digital Economy Report 2020: Digitalization, Trade and Development. United Nations. UNESCO. (2022). Global Education Monitoring Report 2022: Technology in Education. UNESCO Publishing. Venkatesh, V., Morris, M. G., Davis, G. B., & Davis, F. D. (2003). User acceptance of information technology: Toward a unified theory. MIS Quarterly, 27(3), 425-478. Wang, L., & Li, Q. (2023). Accessibility of financial information and its implica

More Articles from JOURNAL OF ACCOUNTING AND FINANCIAL MANAGEMENT

Cashflow Management and the Performance of Commercial Banks in Nigeria

Author: Jeffrey Ayas Iyakonbogha, Clement E. Ozele

The Nigerian Code of Corporate Governance and Financial Performance of Deposit Money Banks in Nigeria

Author: i, Eneaniofu Daniel Mmaduakonam, ii, Azolike Nkiru Nkechi, iii, Emeter Patrick Okechukwu, iv, Okwor Emmanuel Ejimnkonye