Influence of Electronic Payment on Business Efficiency in Petrol Stations in Nyanza Region, Kenya

Abstract

The Oil Sector Over the centuries, the oil industry has remained a predominant player in the world’s economy. This sector is known for its great contribution to many nations. The National Oil Board states that consumption of oil and petroleum products is projected to grow from 4.5 million metric tons to 12 million metric tons by 2030, yet currently, petroleum products procured face challenges. Recent findings have shown low efficiency in the procurement process at petrol stations in the Nyanza region. The study specifically looked at the influence of electronic payments on business efficiency in petrol stations in the Nyanza region of Kenya. This study employed a descriptive study design with a target population of 134 and a sample of 100 employees of petrol stations in the Nyanza region of Kenya. The study used closed-ended Likert scale questionnaires for data collection. The data was analyzed using both descriptive and inferential statistics, where descriptive statistics involved frequencies and percentages. Inferential statistics are based on Pearson correlation and simple linear regression. SPSS software 23 was useful in the analysis. The findings were that electronic payment had a significant influence on business efficiency among petrol stations (t = 10.209, p< 0.05). The study recommends that petrol stations adopt electronic payment practices to minimize queues during physical payment. Furthermore, electronic payment eases audits and minimizes cases of corruption.