Investigating the effect of financial technology and financial inclusion on the financial behavior of small and medium business managers

Subject Areas : Financial Markets and Institutions

Vahid Ahmadian ¹ , Sajjad Naghdi ² , Alireza Fazlzadeh ³ , Ahmad Teh Abdul Karkhi ⁴ , Davood Ahmadian ⁵

1 - Department of Accounting, Faculty of Economic and Management, University of Tabriz, Tabriz, Iran.
2 - Department of Accounting, Faculty of Economic and Management, University of Tabriz, Tabriz, Iran.
3 - Department of Accounting, Faculty of Economic and Management, University of Tabriz, Tabriz, Iran.
4 - Department of Accounting, Faculty of Economic and Management, University of Tabriz, Tabriz, Iran.
5 - Department of Applied Mathematics, Faculty of Mathematics, Statistics and Computer Sciences, University of Tabriz, Tabriz, Iran.

Received: 2024-04-04 Accepted : 2024-09-15 Published : 2024-09-15

Keywords: Financial Behavior, Financial Inclusion, Financial Technology, Managers, Small and Medium Businesses,

Abstract :

Purpose: This study examines the impact of financial technology and financial inclusion on the financial behavior of small and medium-sized enterprise (SME) managers.

Research Methodology: The present research is applied in terms of purpose and descriptive-correlational in terms of data collection method, specifically employing structural equation modeling (SEM). The statistical population comprises managers and entrepreneurs of knowledge-based companies. 230 questionnaires were distributed among the target population. The study utilized three questionnaires: Allen et al.'s (2016) financial inclusion questionnaire, Carcello and Neal's (2000) managers' financial behavior questionnaire, and Lee and Shin's (2018) financial technology questionnaire. The collected data were subsequently analyzed using LISREL software.

Findings: The research results indicate that financial technology plays a mediating role in the relationship between financial inclusion and the financial behavior of SME managers. Additionally, financial inclusion has a positive impact on the financial behavior of SME managers, and financial inclusion positively influences the financial technology adoption in SMEs. Finally, the findings revealed that financial technology positively affects the financial behavior of SME managers.

Originality/Scientific Value-Added: The findings from this research can contribute to a better understanding of policy-making and planning in small and medium-sized enterprises for the enhancement of financial inclusion.

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