Factors that Determine Investment Returns of M-Pesa Retail Outlets in Nairobi County
The use of e-banking has become prevalent in the current banking and money transfers. Due to the competitive nature for this industry almost every bank is embracing these services to increase its competitiveness. This led to Safaricom mobile phone service provider to enter into the industry providing alternative money transfer services. The study sought to analyze the factors that affect investment returns of the mobile money transfers popularly known as M-Pesa. The study focused its research on mobile M- Pesa outlet, located in Nairobi County. The general objective of the study was to determine and analyze factors affecting investments returns of MPesa outlets in these areas. Well in Kenya there are several other players in the mobile money transfer as industry for example Zain telecommunications has Zap,Orange mobile has Orange money and most recent Ushindi mobile partnering with Yu.and their product is called Yu-Cash. In order to carry out the research; the researcher targeted, two areas according to the nature of residents income earning. That is one rich suburb and a relatively poorer surbub.The data was collected by use of a structured questionnaire. The questionnaire was given to the respondent to complete and picked after two weeks. Data collected was analyzed by descriptive statistics which include arithmetic mean, mode. The likert scale was used to determine the weighed average. The findings of the study will assist the Safaricom, management in formulating the Comprehensive Risk Management Policies that will help new M-Pesa outlets to be able to run their business with confidence without fear of liquidity challenges and hence improved investments returns. The study has also contributed to the existing body of literature and form a basis for further research in the finance related discipline.