Business Administration Project Topics

Impact of E-Business on the Performance of Banks in Nigeria: a Study of United Bank for Africa (UBA)

Impact of E-Business on the Performance of Banks in Nigeria a Study of United Bank for Africa (UBA)

Impact of E-Business on the Performance of Banks in Nigeria: a Study of United Bank for Africa (UBA)

Chapter One


  1. To expatiate on the importance of e-business on the overall performance of UBA.
  2. To examine the impact e-business has on the performance of UBA.
  3. To determine the effects of e-business on customers.




E-commerce refers to a system that enables bank customers to get access to their accounts and general information on bank products and services through the use of bank’s website without the intervention of or inconveniences of sending letters, taxes, original signatures and telephone conformations (Henry 2000; Thulani, Tofara and Longton 2009). E-commerce has a wide variety of electronic platforms for purchase orders to suppliers or service providers, via e-channels Interface, which can be faxed, e-mailed, and even to facilitate payment to obtain digital cash using smarts cards and other internet services which is an information highway. E-commerce could also mean the process of execution of commercial transactions electronically with the help of leading technologies. Thousands of businesses have taken up residence at web sites. Commercial channels according to Kotler (2002) include (i) commercial channels on news, e-libraries, e-education, e-reference, edialogue opportunities, e-mails, etc. and (ii) internet where one can surf the net, experience a great deal of relief as business activities can now be done electronically, shop online, access news, get business updates and many more. For many, internet has become an integral part of their daily lives (Yankee Group Interactive Consumer Survey, 2002). Users gain greater comfort level, interacting electronically and continue to establish trust in visited sites. Trust is deemed crucial as customers have to rely on promises given by an organization (Garbarino and Strahilevitz, 2004). They have to trust that their personal information will not be passed to other unauthorized parties and safe from hackers (Jarvenpaa et al, 2000; Garbarino and Strahilevitz, 2004). This is because the online environment features many possibilities for fraud (Grazioli and Wang, 2001). Hence trust is a key driver for the success of e-commerce (Jarvenpaa et al, 2000; McKnight et al, 2002; Konradt et al, 2003; Stewart, 2003; Harris and Goode, 2004; Bart et al, 2005; Schosser et al, 2006. Success in the electronic banking era is measured in the eyes of the customer. A bank has to profitably meet the needs of customers and continuously improve its ability to do so. It has to be accurate, reliable, convenient, cheaper, more personalized, reduce customers’ search cost, helpful and heighten more privacy concerns. It allows business organizations to send commercial documentation electronically. E-commerce cannot be all successful with the isolation of information technology, considering the value it has so far added to human existence, the quality of life and the standard of living. E-commerce has a great deal of advantage over “brick and mortar” stores and mail order catalogs, thereby sweeping away the traditional media advertisers/agencies and middlemen. Customers can easily search through a large database of new and already existing products and services on various service providers and financial institution websites. Users can see actual prices, build an order over several days and email it, compare prices with a click of the mouse and buy the selected product at best prices. It also increased accessibility for all businesses and made international and local operations technologically easy.






In this chapter, we described the research procedure for this study. A research methodology is a research process adopted or employed to systematically and scientifically present the results of a study to the research audience viz. a vis, the study beneficiaries.


Research designs are perceived to be an overall strategy adopted by the researcher whereby different components of the study are integrated in a logical manner to effectively address a research problem. In this study, the researcher employed the survey research design. This is due to the nature of the study whereby the opinion and views of people are sampled. According to Singleton & Straits, (2009), Survey research can use quantitative research strategies (e.g., using questionnaires with numerically rated items), qualitative research strategies (e.g., using open-ended questions), or both strategies (i.e., mixed methods). As it is often used to describe and explore human behaviour, surveys are therefore frequently used in social and psychological research.


According to Udoyen (2019), a study population is a group of elements or individuals as the case may be, who share similar characteristics. These similar features can include location, gender, age, sex or specific interest. The emphasis on study population is that it constitutes of individuals or elements that are homogeneous in description.

This study was carried to examine Impact of E-business on the Performance of Banks in Nigeria. United Bank for Africa (Uba) form the population of the study.




This chapter presents the analysis of data derived through the questionnaire and key informant interview administered on the respondents in the study area. The analysis and interpretation were derived from the findings of the study. The data analysis depicts the simple frequency and percentage of the respondents as well as interpretation of the information gathered. A total of eighty (80) questionnaires were administered to respondents of which only seventy-seven (77) were returned and validated. This was due to irregular, incomplete and inappropriate responses to some questionnaire. For this study a total of 77 was validated for the analysis.




It is important to ascertain that the objective of this study was to ascertain Impact of E-business on the Performance of Banks in Nigeria: a Study of United Bank for Africa (Uba). In the preceding chapter, the relevant data collected for this study were presented, critically analyzed and appropriate interpretation given. In this chapter, certain recommendations made which in the opinion of the researcher will be of benefits in addressing the challenges of E-business on the Performance of Banks in Nigeria


This study was on Impact of E-business on the Performance of Banks in Nigeria: a Study of United Bank for Africa (Uba). Three objectives were raised which included:  To expatiate on the importance of e-business on the overall performance of UBA, to examine the impact e-business has on the performance of UBA and to determine the effects of e-business on customers. A total of 77 responses were received and validated from the enrolled participants where all respondents were drawn from United Bank for Africa (Uba). Hypothesis was tested using Chi-Square statistical tool (SPSS).


From the foregoing, no bank is interested in spending a huge of money on electronic commerce without anything to show for it at the end of the exercise. Thus, effectiveness and impact of electronic commerce can’t be overemphasized as it plays a dominant role in the communication of product information (goods and services) to customers. This study therefore concludes that:

  • E-commerce boosts and promotes organizational performance. It allows economies of scale and sustainable demands, adds value to shareholders, increases production, leading to higher revenue.
  • It makes organizations, banks and other financial service providers to become competitively advantageous and reduces operational cost. Anything less, would be undesirable as it is easier to arouse a demand.
  • E-commerce if adequately funded by an organization will enhance the achievement of the organization marketing and corporate objectives. Banks with a strong support and commitment to e-commerce from top management are more likely to adopt e-commerce banks that have the requisite It and business resources (infrastructures and skills) for e-commerce adoption stand a better chance of adopting ecommerce and profitability of the organization involved.
  • E-commerce has made it easy to search for availability of products easily at banks, it also increases customer’s satisfaction and has attracted more customers, and the website of the company should be more accessible and make the customers connection faster. E-commerce is also a major tool for adopting to the changing business environment and has brought about reduction in marketing cost, increase in banks products and profitability of the organization. Tentatively, customers would be exposed to more contemporary and societal activities (Postrel, 2002). it is observed that the use of e-commerce in banking industry is indeed very profitable as there is an existence of a strong positive relationship between the level of profitability and investment in e-commerce. Again, it helps to improve marketing performance and marketing insight and communication effectiveness through the use of modern technologies (Journal of Database Marketing & Customers Strategy Management, 2007).


Organizations, banks and other financial service providers should leverage their investments on information technology to fully realize the benefits of e-commerce.

  • Banks should anticipate competitors’ actions and develop new marketing and succession plans that are robust and contingent.
  • Banking industry should embrace the use of electronic commerce for improved profitability, productivity and operate optimally amidst competitors.
  • Skilled, experienced and dynamic personnel should be used, as this would lead to effective customer service delivery.
  • Customers’ satisfaction should be the watchword for banks because customers are the king in any business organization. Payment on the internet should be risk free. There should be free flow of information about banks and their products. Now that most people are unemployed in Nigeria, government should utilize e-commerce and get people empowered so that they can be self-employed. Government should explore the opportunities embedded in electronic commerce to create employment for the citizenry adding that it would help in reducing the high rate of cybercrime in the country.
  • Our businesses should be e-commerce friendly to attract foreign investors awareness programmes should be organized such as talk shows, seminars/workshops and be taught in tertiary institutions, schools, etc.
  • The availability of current technology in computing networks in Nigeria and some of the infrastructures needed for the successful take-off of e-commerce are already on ground. Government should therefore study the system to see how it can be adopted to develop the banking industry. Government should provide necessary infrastructures for e-commerce to thrive in Nigeria.


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