E-hailing Applications Adoption and Competitiveness of App-based Taxi Operators in Nairobi, Kenya

Abstract

The advent of innovations on the Global Positioning System (GPS) has had significant implications on transport systems. The development of E-hailing Applications in the Taxi industry is one of those technological innovations in the recent past. E-hailing refers to the process of sourcing for a taxi or other forms of transport using a mobile application. E-Hail applications services have created more competition in the taxi industry through increased supply and ready availability of cars and drivers in major cities. The purpose of the study was therefore to establish the drivers for adoption of ehailing applications and app-based taxi operations, to establish the challenges of adoption of app-based taxi operations and determine the relationship between E-hailing Applications adoption and the competiveness of app-based taxi operations. This study used descriptive survey research design. The study targeted those app-based taxi providers in Nairobi. The researcher used simple random sampling in selecting samples. Primary data was used in this study, which was collected by means of questionnaires. The data was then analysed using descriptive statistics. The study established that the need to attract more customers, the need to create easy communication with customers, the need to reduce waiting time at the taxi stand and journey time were among the chief drivers enhancing adoption of E-hailing applications. The four major factors established to influence adoption of app-based taxi operations in Nairobi, Kenya were; relative advantage, complexity, customers and attitude and behaviours. The analysis of findings show that there exists a positive relationship between between E-hailing Applications adoption and the competiveness of app-based taxi operations.