Adoption of Near Field Communication (NFC) for Mobile Payments in the UAE: A Merchants' Perspective

Mohanad Halaweh and Hashem Al Qaisi
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Mohanad Halaweh: College of Business Administration, Al Falah University, Dubai, UAE
Hashem Al Qaisi: College of Information Technology, University of Dubai, Dubai, UAE

International Journal of E-Business Research (IJEBR), 2016, vol. 12, issue 4, 38-56

Abstract: Near Field Communication (NFC) is one of the emerging technologies that enables mobile devices to wirelessly exchange data at short ranges. NFC technology has great potential, making it convenient to process payments through mobile phones. The aim of this research is to explore the challenges and factors which influence the adoption of the NFC payment system by merchants and retailers in the UAE. This paper presents the results of semi-structured interviews conducted amongst the UAE merchants and retailers. The analysis of data revealed a lack of knowledge, awareness and experience, from both merchants and retailers, about the NFC mobile payment system. Security, promptness and business sustainability were found to be important factors for merchants to contemplate before adopting the new technology. Furthermore, technology infrastructure, switching cost, availability and ecosystem complexity impeded the spreading of NFC mobile payment technology in the UAE market.

Date: 2016
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Persistent link: https://EconPapers.repec.org/RePEc:igg:jebr00:v:12:y:2016:i:4:p:38-56

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