IDEAS home Printed from https://ideas.repec.org/a/baq/jetart/v5y2024i13p67-75.html

Development of financial literacy and fintech adoption on women SMEs business performance in Indonesia

Author

Listed:
  • Florentina Kurniasari

    (Universitas Multimedia Nusantara)

  • Elissa Dwi Lestari

    (Universitas Multimedia Nusantara)

Abstract

Women-owned small businesses are crucial to the Indonesian economy. Despite this contribution, women entrepreneurs face many challenges when building their businesses, especially getting business loans. Women entrepreneurs adopt less technology and have less financial expertise than men. This study aims to determine financial literacy factors affecting women SMEs business success and the extent of financial technology (FinTech) use as an alternative funding source to formal financial institutions. The study examines FinTech adoption using the Unified Theory of Acceptance and Use of Technology (UTAUT Theory). This study also examines how FinTech adoption mediates the indirect effect of financial literacy on SME business performance. The study uses a quantitative research approach using a judgmental sample of 270 women entrepreneurs who have previously used FinTech. The data is analyzed with SEM-PLS. According to the study, effort expectancy, performance expectancy, and social influence all have a beneficial impact on FinTech adoption among women-owned small businesses. The survey found that FinTech adoption was a key factor influencing women SMEs business performance. The findings also indicate that financial literacy has a beneficial effect on business success. The study reveals FinTech adoption as a mediating factor in the association between financial literacy and SMEs business success. As a result, our findings contribute to a better understanding of how digital technology adoption affects SMEs performance and long-term sustainability. The findings offer insights for entrepreneurs, policymakers, and company owners looking to enhance the survival rate of SMEs by improving operations and harnessing digital technology to promote capital accessibility, FinTech adoption, and financial literacy.

Suggested Citation

  • Florentina Kurniasari & Elissa Dwi Lestari, 2024. "Development of financial literacy and fintech adoption on women SMEs business performance in Indonesia," Eastern-European Journal of Enterprise Technologies, PC TECHNOLOGY CENTER, vol. 5(13 (131)), pages 67-75, October.
    • Handle: RePEc:baq:jetart:v:5:y:2024:i:13:p:67-75
    DOI: 10.15587/1729-4061.2024.312613
    as

    Download full text from publisher

    File URL: https://journals.uran.ua/eejet/article/download/312613/305345
    Download Restriction: no
    File URL: https://libkey.io/10.15587/1729-4061.2024.312613?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Sonja Franzke & Jie Wu & Fabian Jintae Froese & Zi Xuan Chan, 2022. "Female entrepreneurship in Asia: a critical review and future directions," Asian Business & Management, Palgrave Macmillan, vol. 21(3), pages 343-372, July.
    2. Jianmu Ye & KMMCB Kulathunga, 2019. "How Does Financial Literacy Promote Sustainability in SMEs? A Developing Country Perspective," Sustainability, MDPI, vol. 11(10), pages 1-21, May.
    3. Rizwan Ullah Khan & Yashar Salamzadeh & Syed Zulfiqar Ali Shah & Mazhar Hussain, 2021. "Factors affecting women entrepreneurs’ success: a study of small- and medium-sized enterprises in emerging market of Pakistan," Journal of Innovation and Entrepreneurship, Springer, vol. 10(1), pages 1-21, December.
    4. Necmi K. Avkiran & Christian M. Ringle (ed.), 2018. "Partial Least Squares Structural Equation Modeling," International Series in Operations Research and Management Science, Springer, number 978-3-319-71691-6, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Elissa Dwi Lestari, 2022. "The Effect of Financial Literacy, Cost of Technology Adoption, Technology Perceived Usefulness, and Government Support on MSMEs' Business Resilience ," GATR Journals gjbssr620, Global Academy of Training and Research (GATR) Enterprise.
    2. Syed Aamir Alam Rizvi & Syed Jamal Shah & Muhammad Azeem Qureshi & Saima Wasim & Abdur Rahman Aleemi & Mohsin Ali, 2023. "Challenges and motivations for women entrepreneurs in the service sector of Pakistan," Future Business Journal, Springer, vol. 9(1), pages 1-14, December.
    3. Shakila Salam & Faima Farzin Mim & Mousumi Saha & Arifa Jannat, 2025. "Identifying key competencies of female e-commerce entrepreneurs in Bangladesh: a study using exploratory factor analysis," Journal of Global Entrepreneurship Research, Springer;UNESCO Chair in Entrepreneurship, vol. 15(1), pages 1-15, December.
    4. Shao, KaiChao & Ma, Ruixue & Kamber, Joseph, 2023. "An in-depth analysis of the entrepreneurship of rural Chinese mothers and the digital inclusive finance," Telecommunications Policy, Elsevier, vol. 47(7).
    5. Fiona Jane Francis & Hui Li You & Shyue Chuan Chong & Chia Yien Lim, 2025. "Improving the Entrepreneurial Intentions of Women in Malaysia: A Conceptual Framework," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 9(4), pages 5896-5905, April.
    6. Hina Ahmed & Sami Ullah Bajwa & Sobia Nasir & Waqas Khan & Kashif Mahmood & Sadia Ishaque, 2026. "Digital Empowerment: Exploring the Role of Digitalization in Enhancing Opportunities for Women Entrepreneurs," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 17(1), pages 466-497, February.
    7. Danilo Soares‐Silva & Gustavo Hermínio Salati Marcondes de Moraes & Alexandre Cappellozza & Cristiano Morini, 2020. "Explaining library user loyalty through perceived service quality: What is wrong?," Journal of the Association for Information Science & Technology, Association for Information Science & Technology, vol. 71(8), pages 954-967, August.
    8. Al-Baraa Abdulrahman Al-Mekhlafi & Ahmad Shahrul Nizam Isha & Nicholas Chileshe & Mohammed Abdulrab & Anwar Ameen Hezam Saeed & Ahmed Farouk Kineber, 2021. "Modelling the Relationship between the Nature of Work Factors and Driving Performance Mediating by Role of Fatigue," IJERPH, MDPI, vol. 18(13), pages 1-17, June.
    9. Wei Mun Chin & Nor Aniza Ahmad & Ismi Arif Ismail & Siti Noormi Alias & Alia Sarah Asri, 2025. "A Serial Mediation Model on Trait Emotional Intelligence, Basic Psychological Needs, and Academic Motivation as Antecedents of Student Engagement," SAGE Open, , vol. 15(3), pages 21582440251, August.
    10. Nketiah, Emmanuel & Song, Huaming & Cai, Xiang & Adjei, Mavis & Adu-Gyamfi, Gibbson & Obuobi, Bright, 2022. "Citizens’ intention to invest in municipal solid waste to energy projects in Ghana: The impact of direct and indirect effects," Energy, Elsevier, vol. 254(PC).
    11. Yi Mei & Xiaoyan Xu & Xiaodong Li, 2020. "Encouraging Patient Engagement Behaviors from the Perspective of Functional Quality," IJERPH, MDPI, vol. 17(22), pages 1-15, November.
    12. Koomson, Isaac & Churchill, Sefa Awaworyi & Smyth, Russell, 2025. "Financial literacy and clean energy adoption in South Africa," Energy Economics, Elsevier, vol. 151(C).
    13. Adilson Carlos Yoshikuni & José Eduardo Ricciardi Favaretto & Alberto Luiz Albertin & Fernando de Souza Meirelles, 2022. "How can Strategy-as-Practice Enable Innovation under the Influence of Environmental Dynamism?," RAC - Revista de Administração Contemporânea (Journal of Contemporary Administration), ANPAD - Associação Nacional de Pós-Graduação e Pesquisa em Administração, vol. 26(1), pages 200131-2001.
    14. Younès El Manzani & Mohamed Larbi Sidmou & Jean-Jack Cegarra, 2018. "Does IS0 9001 quality management system support product innovation? An analysis from the sociotechnical systems theory," Post-Print hal-03080217, HAL.
    15. Luger, Michaela & Hofer, Katharina Maria & Floh, Arne, 2022. "Support for corporate social responsibility among generation Y consumers in advanced versus emerging markets," International Business Review, Elsevier, vol. 31(2).
    16. Juan E. Núñez-Ríos & Jacqueline Y. Sánchez-García & Omar G. Rojas & Elias Olivares-Benitez, 2020. "Factors to Foster Organizational Sustainability in Tourism SMEs," Sustainability, MDPI, vol. 12(20), pages 1-21, October.
    17. Alessia Acampora & Michele Preziosi & Maria Claudia Lucchetti & Roberto Merli, 2022. "The Role of Hotel Environmental Communication and Guests’ Environmental Concern in Determining Guests’ Behavioral Intentions," Sustainability, MDPI, vol. 14(18), pages 1-23, September.
    18. Marcos Carchano & Inmaculada Carrasco & Angela González, 2025. "Examining environmental proactivity in the Spanish wine industry: The moderating role of size," Agribusiness, John Wiley & Sons, Ltd., vol. 41(1), pages 127-157, January.
    19. Stephan Gerschewski & Yong Kyu Lew & Zaheer Khan & Byung Il Park, 2018. "Post-Entry Performance of International New Ventures: The Mediating Role of Learning Orientation," John H Dunning Centre for International Business Discussion Papers jhd-dp2018-06, Henley Business School, University of Reading.
    20. Sami S. Binyamin & Md. Rakibul Hoque, 2020. "Understanding the Drivers of Wearable Health Monitoring Technology: An Extension of the Unified Theory of Acceptance and Use of Technology," Sustainability, MDPI, vol. 12(22), pages 1-20, November.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:baq:jetart:v:5:y:2024:i:13:p:67-75. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Iryna Prudius (email available below). General contact details of provider: https://journals.uran.ua/eejet/issue/archive .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.