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ANTECEDENTS OF THE ADOPTION OF MOBILE VIRTUAL NETWORK OPERATOR LICENCE IN THE TELECOMMUNICATIONS SECTOR IN KENYA

 

Gerald Muthwale

Jomo Kenyatta University of Agriculture and Technology

 

Dr. Susan Were (PhD)

Jomo Kenyatta University of Agriculture and Technology

 

Dr. Micheal W. Kimwele (PhD)

Jomo Kenyatta University of Agriculture and Technology

 

CITATION: Muthwale, G., Were, S. and Kimwele, M. W. (2017). Antecedents of the Adoption of Mobile Virtual Network Operator License in the Communication Sector in Kenya. International Journal of Arts and Entrepreneurship. Vol 6 (3), 1- 27.

 

ABSTRACT

 

The access to mobile money has become an important financial service that helps to satisfy enterprise and personal financial needs helping to cope with Money management. Mobile money and access to related services have become a necessity. The main objective of this study was to investigate the factors that have affected the adoption of the mobile virtual network operator licensees: case of mobile money market in Kenya. The specific objectives were to evaluate and highlight the benefits in the adoption of MVNO (Mobile Virtual network Operator) recommendations in the Kenyan telecommunications Industry, To examine the need for an industry wide frame work and its effect on the adoption of MVNO licensing in the telecommunications sector in Kenya, to investigate the effect of the current network infrastructure on the adoption MVNO licensing in the telecommunications sector in Kenya, to investigate the impact of mapping practices on the adoption of MVNO licensing in the telecommunications sector in Kenya, specific legal frame work and regulatory mechanisms in Kenya relating to MVNO. The study targeted the established telecommunication providers and along with other telecommunication service providers in Kenya. The target population was mainly Mobile network operators, mobile money service providers and content providers in Kenya with industry experts totaling to 530. A sample of 184 respondents was picked using stratified random sampling techniques based on strata in the management level. The sample size is obtained by calculating the sample from the target population by applying Cooper and Schindler, (2013) formula. A structured questionnaire was used to collect the data. Data analysis was aided by SPSS. Inferences were drawn using Karl Pearson’s Correlation Coefficient technique. The data was further subjected to regression analysis using multiple regressions modeling. The study concluded that one of the key factors affecting adoption of MVNO is the availability of an industry wide framework along with the current network infrastructure of networks along with the current mapping practices in the country. Business strategies have also had a key impact on the adoption of MVNO in Kenya. The governments existing polices have also been seen to have some influence on the adoption of MVNO. It was recommended that Telecommunications Regulator in Kenya should champion the major changes in the facilitating the Adoption of MVNO licenses in Kenya This should be reinforced by also ensuring that the process if free from Government interference and influence.

 

Key Words: Mobile Virtual network Operator, adoption of MVNO licensing, current network infrastructure, mapping practices, legal frame work, regulatory mechanisms

 

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