The role of M-Commerce in developing countries and the impact of international trade: A case study of M-Pesa in Kenya

Abstract

Mobile commerce is defined as the transfer of money through the use of handheld devices with the most common of this being the use of the mobile phones. It is a fast growing phenomenon which in some parts of the world like Kenya has witnessed a major revolution. That mobile commerce has brought about huge economic developments/impact is not in doubt. Due to its rapidly evolving nature and different characteristics, it is proving to be a rich area of study especially potential benefits for different stakeholders.

This study highlights a number of the economic developments both within Kenya and other developing countries. The study uses Kenya as a case study; to show how the industry has been before, as well as a review and analysis of current statistics within the industry and also information from interviews with key stakeholders.

But most importantly, the study seeks to explore links between the economic developments brought about by M-commerce and international relations through international trade. It examines activities of different actors in the mobile commerce phenomenon, international trade and linkages brought about by M-commerce and show the hitherto un-researched link in academia.