The microeconomics of mobile payments
Aloys Prinz ()
Additional contact information
Aloys Prinz: University of Muenster
Netnomics, 2019, vol. 20, issue 2, 129-151
Abstract In this paper, a Kranzberg  - Lancaster  approach is employed to investigate the microeconomics of mobile payment methods. The adoption of these technical innovations depends, among others, on the acceptance by consumers that can be analyzed with a Lancaster characteristics demand. With a Kranzberg technology matrix, the technical and institutional details of payments can be transformed into salient characteristics of payment instruments that are relevant for Lancaster demand of payment methods. While cash and card-based payments are mostly Kranzberg-complete technologies, novel forms and means of mobile payments lack certain features, i.e., they are Kranzberg-incomplete innovations. Mobile payments are incomplete concerning technical, institutional and regulatory details. As a consequence, this incompleteness may result in a lack of acceptance on the side of consumers since certain salient characteristics of payment methods are not fully developed. In particular, mobile payments are neither widely accepted by merchants, nor are consumers’ data and privacy protected. Kranzberg-completion of novel mobile payments is required to make them universally successful.
Keywords: Payment methods and systems; Salient characteristics; Vector similarity; Kranzberg’s laws; Kranzberg-complete technology packages; Network externalities (search for similar items in EconPapers)
JEL-codes: D02 D04 D10 D62 O32 O33 (search for similar items in EconPapers)
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
http://link.springer.com/10.1007/s11066-019-09137-0 Abstract (text/html)
Access to full text is restricted to subscribers.
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:kap:netnom:v:20:y:2019:i:2:d:10.1007_s11066-019-09137-0
Ordering information: This journal article can be ordered from
http://www.springer. ... ry/journal/11066/PS2
Access Statistics for this article
Netnomics is currently edited by Stefan Voß
More articles in Netnomics from Springer
Bibliographic data for series maintained by Sonal Shukla ().