MOSHI UNIVERSITY COLLEGE OF COOPERATIVE AND BUSINESS STUDIES (MUCCoBS) A constituent college of Sokoine University of Agriculture (SUA) P.O.

Box 474, Sokoine Road, Moshi Tanzania

Challenges facing providers and users of mobile commerce in Tanzania, A case of Vodacom M-Pesa in Tanga City

Noel Ernest Kimambo

Bachelor Arts in Procurement and Supplies Management (BA-PSM)

March, 2012

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Challenges facing providers and users of mobile commerce in Tanzania A case of Vodacom M-Pesa in Tanga City

By;

A Research Proposal submitted in Partial fulfillment of the Requirements for the degree of Bachelor of Arts in Procurement and Supplies Management offered by Sokoine University.

Moshi University College of Cooperative and Business Studies

March, 2012

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DECLARATION AND COPYRIGHT

I declare that, This proposal is my original work and has not been presented in any other academic institution for the purpose of academic award Name: Noel Ernest Kimambo

Registration Number: FBIS/BA-PSM/780/09

Program Bachelor of Arts in Procurement and Supplies Management (BA-PSM)

Signature ..

Date .

Copyright 2012 By Noel Ernest Kimambo All rights reserved

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CERTIFICATION I the undersigned, certify that, I have read and hereby recommend for acceptance by the Moshi University College of Cooperative and Business Studies a research proposal entitled, CHALLENGES FACING PROVIDERS AND USERS OF MOBILE COMMERCE IN TANZANIA. for the fulfillment of the requirement for the award of Bachelor of Arts in Procurement and Supplies Management (BA-PSM) at Sokoine University of Agriculture (SUA)

Supervisors Name Supervisors Signature

Date...........................................

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ACKNOWLEDGEMENT I would like to make use of this opportunity to thanks the following individuals: My friends and family, too many to mention for their continued support throughout this work.

A special word of thanks goes to My father Dr. Leonard E. Mboera, my mother Haikael E. Mboera and my brother Jeremy E. Kimambo. Throughout my life you have been there to support me. I would not forget to show my appreciation to all my classmates and my friends who have been hand in hand with me in research discussions, and on advice on how and what type of data to be collected that will suits my report. Lastly, I would like to thank Dr. E. Mwende for his continuous support throughout the preparation of this proposal. His dedication to the students of MUCCoBS is greatly appreciated.

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ABSTRACT The widespread use of mobile commerce is no longer a fiction. A future is for mobile technology and mobile commerce. These emerging technology are getting wide acceptance throughout Tanzania. Mobile commerce is getting fast popularity since is allow the freedom of movement and ease of access. The future of mobile commerce depends upon how easy and how friendly is this service to use. In the study a Researcher strive to highlight potential challenges which are facing providers and users of Mobile commerce in Tanzania. A Researcher takes a look on the current state of mobile commerce in Tanzania. Through reviewing various literature a Researcher identify various factors that impacts mobile commerce services and suggest direction for future research in this still emerging field.

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LIST OF ABBREVIATIONS, ACRONYMS AND SYMBOLS CDMA: E-COMMERCE: GPRS: GSM: M-COMMERCE: M M T: M-PESA: NBC: SMS: TCP: TCRA: WTO: 3G: Code Division Multiple Access Electronic commerce General Packet Radio Service Global System for Mobile Communication Mobile commerce Mobile Money Transfer Mobile Pesa National Bank of Commerce Subscriber Message Servicers Transmitted Control Protocol Tanzania Communication Regulatory Authority World Trading Organisation 3rd Generation for Mobile Communication

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TABLE OF CONTENTS

COVER PAGE.. TITLE PAGE.. i DECLARATION AND COPYRIGHT.ii CERTIFICATION..iii ACKNOWLEDGEMENTS.iv ABSTRACT....v ABBREVIATION AND ACRONYMSvi TABLE OF CONTENTSvii 1.0 INTRODUCTION1 1.1 Background to the Problem1 1.2 Statement of the Problem3 1.3 Objectives ...5 1.3.1 General Objective.5 1.3.2 Specific Objectives5 1.4 Research Questions..5

1.5 Scope of Study5 1.6 Location, Population and Economy6 1.7 Significance of the study.6

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1.8 Organisation of the Research Proposal Report6 1.9 Definition of key Terms..7 2.0 LITERATUR REVIEW..8 2.1 International Studies8 2.2 Regional Studies.11 2.3 Theory of the Study13 2.4 Variable Relationship 14 3.0 RESEARCH METHODOLOGY16 3.1 Description of Study Area.16 3.2 Research Design 16 3.3 Sampling16 3.3.1 Sampling Frame.16 3.3.2 Sampling Unit16 3.3.3 Sampling Size17 3.3.4 Sampling Techniques.17 3.4. Types of Data18 3.5 Sources of Data 17 3.6 Procedure for Data Collection.. 18 3.7 Data Collection Techniques18 3.8 Data Analysis and Interpretation Techniques18 3.9 Limitations to the Study....19

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4.0 REFERENCE 20 APPENDICES.22 Appendix 1: Work Plan 22 Appendix 2: Budget... 22 Appendix 3: Questionnaires.. 23 Appendix 4: Sample size Determination.. 32

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