Mobile Wallet Adoption Model for Improving MSME Performance in Indonesia's Tourism Sector

The growth of smartphone users in Indonesia, surpassing the number of active bank accounts, presents a massive opportunity for the widespread adoption of mobile payment systems. Consumers increasingly tend to transact online to reduce physical contact, encouraging MSMEs to adjust their payment methods to align with changing consumer behaviour. Adapting to current information technology trends is an essential motivator for MSME operators to implement mobile payment systems in their businesses. Despite the growing trend, many MSMEs in Indonesia still need to be connected to the digital ecosystem, including mobile wallet initiation systems. The digitalization process of SMEs in Indonesia is still low, and Indonesian SMEs are still relatively lagging and are not ready for digital transformation. Therefore, it is essential to start digital transformation. Adopting digital technology can increase productivity and competitiveness for Indonesian SMEs. The purpose of this study is to find out the factors that affect the readiness of SMEs to adopt digital-based financial technology and to examine the influence of financial technology adoption on company performance.