Determinants Affecting the Acceptance of Cashless Payment Among SMEs in Malaysia: Proposal of A Conceptual Framework

There is little uncertainty regarding the driving forces behind the adoption of cashless payment by Small and Medium Enterprises (SMEs), a trend expected to persist and exert a significant impact on SMEs in Malaysia. Such developments are facilitated by collaborative efforts, trust, and a societal inclination towards practicality. Despite the growing body of scholarly and practical research on cashless payment, existing guidelines for its adoption, implementation, and integration into business strategies in Malaysia lack comprehensive research support. This study seeks to propose a new acceptance framework to explore the utilization of cashless payment solutions among small business owners in Malaysia to maximize the benefits of the sustainability of their businesses. 100 respondents of SMEs from four regions in Peninsular Malaysia were involved in the interview to collect the data. The findings of this study are instrumental in enhancing the understanding of e-payment adoption within the SME payment system landscape and its effects on business performance. Additionally, the proposed conceptual framework can be used for future research to determine the relationship between factors of cashless payment adoption and SME performance.