Adoption of GSM Lines by Small Scale Enterprises in Ibadan Metropolis
This study conceived the adoption of GSM lines by small scale enterprises (SSEs) in Nigeria as an adoption of a new technology that help eased the burden associated with acquisition of fixed lines. The study investigated the socio-economic characteristics of the adopters of GSM lines and the factors which determined the adoption of GSM lines by SSEs in a major Nigerian city (Ibadan). The main results of the study showed that the least firms in our research sample comprising SSEs employing between five and nine persons, which were supposedly more economically vulnerable, appeared to be relatively the most proactive adopters of GSM lines. This confirmed the widely held notion that the advent of mobile telephony in Nigeria improved telephone access significantly among the population strata that could not afford the rather expensive and inefficient fixed telephone lines. The female SSE entrepreneurs were generally younger in age and more proactive than their male counterparts in the adoption of GSM lines. The cost of acquiring GSM lines stood out more than any other factor as the driver of decision to adopt them in our research sample. More than half (53.8%) of the respondents claimed, "cost of purchasing GSM line is lower than fixed line" as the most important factor stimulating adoption. Logistic regression analysis demonstrated that factors such as number of apprentices, sales turnover and type were important determinants of the adoption of GS,M lines by SSEs. The parameter estimates of these variables have positive sign and were statistically significant at one per cent level. Contrary to the expectation of one of the hypotheses, the parameter estimate of the age of SSE was negative but statistically significant at one per cent. The negative sign implied that the relatively new SSEs were perhaps more proactive in adoption than older ones. Thus, for our research sample, increasing age of firm which should normally portend growth and ability to venture into adoption of new technologies, does not improve the probability of adopting GSM lines by SSEs. Two-fifth (42.8%) of GSM adopters were manufacturing businesses while nearly three-fifth (57.8%) were service businesses. Similarly, within the manufacturing businesses two-fifth (43.7%) have adopted GSM lines whereas more than three-fifth (63.2%) of service businesses did.