Browsing by Author "Tegambwage, Amani Gration"

Now showing 1 - 8 of 8
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    An assessment of over-indebtedness among microfinance institutions’ borrowers: the Tanzanian perspective
    (Informa UK Limited, 2021-01-01) Kasoga, Pendo Shukrani; Tegambwage, Amani Gration; Tamer Elshandidy
    The introduction of microfinance institutions is viewed as the best alter native source of financial services for low-income earners as a means to raise their income and reduce poverty. However, empirical research has indicated that the majority of microfinance institutions’ borrowers are over-indebted. Over indebtedness has negative consequences for debtors, creditors, and for the economy as a whole. Since over-indebtedness is a context-specific phenomenon, it lacks universally accepted indicators. This study aims to validate indicators of over indebtedness and examine the situation of over-indebtedness among micro borrowers in the context of Tanzania. A survey of 535 micro-borrowers was con ducted using a semi-structured questionnaire. Descriptive, thematic, and logistic regression techniques were employed for data analysis. Findings show that debt-to income ratio, multiple borrowing, and delinquency have a positive and significant effect on over-indebtedness. Further, findings indicate that over-indebted micro borrowers in Tanzania spend 75% or more of monthly income on servicing debts; are in the state of delinquency; are unable to meet basic needs due to loan repayment expenditure, have three or more credit commitments, and are in delin quency. To reduce over-indebtedness and hence poverty among micro-borrowers,
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    Antecedents of customer loyalty in Islamic banking: evidence from Tanzania
    (Emerald Publishing Limited, 2021) Tegambwage, Amani Gration; Kasoga, Pendo Shukrani
    Purpose – This study aims to examine the association between relationship quality, service quality, customer satisfaction, switching barriers and Islamic banking customer loyalty using evidence from Tanzania. Design/methodology/approach – This study used correlational research design to test the hypotheses. Completed questionnaires were received from 572 Islamic bank customers in three major cities of Tanzania (Dar es Salaam, Dodoma and Zanzibar). Findings – There is a significant positive relationship between relationship quality, service quality, customer satisfaction and customer loyalty. Switching barriers have an insignificant effect on customer loyalty. Further, the four antecedents contribute differentially to customer loyalty, with service quality having the most significant contribution. Practical implications – The findings of the study can help managers of Islamic banks build and maintain customer loyalty through high service quality, high customer satisfaction and high-quality bank–customer relationships and attain a competitive advantage that would enable Islamic banks to grow and succeed in a competitive banking environment. Originality/value – This study provides new insights on Islamic banking consumer loyalty by comparing the levels of contributions of the customer loyalty antecedents in a single study. This knowledge would enable Islamic banks to identify antecedents that have the highest contribution to customer loyalty and where best to target marketing attention and limited corporate resources.
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    Commercialization of innovations in Tanzania: an empirical investigation
    (IGI Global, 2021) Rwamuhuru, Mshindi Andrew; Tegambwage, Amani Gration
    The study investigates types, sources of innovation, and corresponding challenges to commercialization among small and medium-sized industries (SMIs) in Tanzania. It employed a qualitative research design with semi-structured interview method. Findings indicate that incremental, product, and process are common types of innovations introduced. The major sources of innovations are employees, consumers, user-manufacturer lifestyles, consequential needs, and best practices by manufacturing firms. Also, it was revealed that SMIs do not follow all steps of the innovation commercialization process. Major challenges facing SMIs in the commercialization process include lack of commercialization knowledge; lack of development infrastructure and fast logistics; lack of strong university, industry, and public institutions linkage; and regulatory authorities' bureaucracy, among others. The study recommends that SMIs establish strong research and development units and collaborations with key stakeholders in order to improve identification and commercialization of innovations in Tanzania.
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    Determinants of customer loyalty in Islamic banking: the role of religiosity
    (Emerald Publishing Limited, 2023) Tegambwage, Amani Gration; Kasoga, Pendo Shukrani
    Purpose – The purpose of this study is to investigate the moderation effects of religiosity in the relationship between service quality (SQ), customer satisfaction (CS), relationship quality (RQ) and Islamic banking (IB) loyalty in a non-Islamic country. Design/methodology/approach – This study used a quantitative approach and a cross-sectional research design. The data was collected by a closed-ended questionnaire from a systematic sample of 267 customers of full-fledged Islamic banks in Tanzania. Structural equation modeling and regression analysis techniques were used to analyze the data. Findings – Results indicate that religiosity is a significant (p < 0.05) moderator of the relationship between SQ and loyalty (b = 0.176), and between CS and loyalty (b = 0.263). However, religiosity sharpens the impact of CS on loyalty (b increases from 0.170 to 0.263, p < 0.05) and does not sharpen the impact of SQ on loyalty (b decreases from 0.338 to 0.176, p < 0.05). The results further indicate that religiosity is not a significant moderator (p > 0.05) in the link between RQ and loyalty (b = 0.112). Research limitations/implications – This study used only full-fledged Islamic banks in Tanzania. Therefore, future research could be undertaken by including conventional banks that have introduced an IB window. Practical implications – To build and maintain a loyal customer base, Islamic banks should take advantage of religiosity by providing a wide range of Sharia-based products and services that truly distinguish them from conventional banks. Accordingly, policymakers should establish an appropriate legal framework to enable Islamic banks to leverage religiosity to sharpen the impact of CS on loyalty and hence maintain loyalty in non-Islamic countries like Tanzania. Originality/value – This study proposes and validates the theoretical model of loyalty in IB by showing the role of religiosity as a moderator in a non-Islamic country. This knowledge strengthens the overall understanding of loyalty in IB. To the best of the authors’ knowledge, this study is the first to examine the moderation effects of religiosity in the link between RQ and loyalty, and thus between SQ, CS, RQ and loyalty in a single study
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    Effect of innovation capabilities on export performance: evidence from manufacturing SMEs in Tanzania
    (Emerald Publishing Limited, 2023) Ringo, Denis Samwel; Kazungu, Isaac; Tegambwage, Amani Gration
    This paper examines the relationship between product innovation (PRODIN), process innovation (PROCIN) and export performance (EXPF) of manufacturing small-and medium-sized enterprises (SMEs). Moreover, the paper investigates the moderating effect of marketing innovation (MAKIN) in the relationship between PRODIN, PROCIN and the SMEs' EXPF. Design/methodology/approach A cross-sectional survey design was used and data were collected through structured questionnaires from 250 manufacturing exporting SMEs in Tanzania. CFA was used to test the measurement model. The hypotheses were empirically tested using PROCESS macro test. Findings The findings suggest that PRODIN is a significant determinant of EXPF. However, PROCIN was found to have a significant negative effect on EXPF. Additionally, MAKIN was found to be a significant moderator of the relationship between PRODIN, PROCIN and EXPF. Research limitations/implications This study covered only manufacturing SMEs. Future studies can include large firms because they may behave differently on innovations due to the resources advantage they have. Also, because only a single country context was used, the findings of this study should be interpreted with caution. Practical implications Managers of exporting SMEs should develop and cultivate PRODIN and MAKIN to nurture EXPF of their firms. Originality/value The findings of this study extend the application of resource-based view theory in exporting context by unpacking the process through which resources result in successful performance. Also, this study contributes to the debate about the innovation–EXPF relationship by establishing a moderating effect of MAKING in the relationship between PRODIN, PROCIN and EXPF.
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    Psychological traits and investment decisions: the mediation mechanism of financial management behavior – evidence from the Tanzanian stock market
    (Emerald Publishing Limited, 2022) Kasoga, Pendo Shukrani; Tegambwage, Amani Gration
    Design/methodology/approach – A sample of 268 individual investors in the Tanzanian stock market was obtained through questionnaires. The data were analyzed using structural equation modeling. Findings – The findings show that self-control, optimism and deliberative thinking are significantly and positively related to FMB and investment decisions. The findings also confirmed the mediating role of FMB in the influence of self-control, optimism and deliberative thinking on investment decisions among Tanzanian individual investors. These findings imply that people with good self-control, optimistic and deliberative thinking are more likely to save money, have better FMB and prefer to make investment decisions. Research limitations/implications – The study deals with individual investors. Future research could examine the effects of psychological traits on investment decisions by adding or modifying the items of particular constructs and studying institutional investors. Practical implications – Individual investors can use the information to study and evaluate their financial behavior and stock investment decisions. This research can be used by security firms to better understand investor behavior, forecast future market trends and advice investors. Individual investors require psychological features to manage their behavior in various aspects, ranging from affective behavior to cognition, which are relevant for investing decisions. Originality/value – Few studies have examined the influence of self-control, optimism and deliberative thinking on the investment decisions of individual investors. The unique empirical analysis developed in this paper is that it examines the mediation mechanisms of FMB with respect to self-control, optimism and deliberative thinking and investment decisions among individual investors in the Tanzanian stock market.
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    Psychological traits and investment decisions: the mediation mechanism of financial management behavior – evidence from the Tanzanian stock market
    (Emerald Publishing Group, 2022) Kasoga, Pendo Shukrani; Tegambwage, Amani Gration
    The purpose of the paper is to examine the financial management behavior (FMB) mediation mechanism in self-control, optimism, deliberative thinking and investment decisions in the Tanzanian stock market. Design/methodology/approach – A sample of 268 individual investors in the Tanzanian stock market was obtained through questionnaires. The data were analyzed using structural equation modeling. The findings show that self-control, optimism and deliberative thinking are significantly and positively related to FMB and investment decisions. The findings also confirmed the mediating role of FMB in the influence of self-control, optimism and deliberative thinking on investment decisions among Tanzanian individual investors. These findings imply that people with good self-control, optimistic and deliberative thinking are more likely to save money, have better FMB and prefer to make investment decisions. The study deals with individual investors. Future research could examine the effects of psychological traits on investment decisions by adding or modifying the items of particular constructs and studying institutional investors. Practical implications – Individual investors can use the information to study and evaluate their financial behavior and stock investment decisions. This research can be used by security firms to better understand investor behavior, forecast future market trends and advice investors. Individual investors require psychological features to manage their behavior in various aspects, ranging from affective behavior to cognition, which are relevant for investing decisions. Few studies have examined the influence of self-control, optimism and deliberative thinking on the investment decisions of individual investors. The unique empirical analysis developed in this paper is that it examines the mediation mechanisms of FMB with respect to self-control, optimism and deliberative thinking and investment decisions among individual investors in the Tanzanian stock market.
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    Relationship quality and customer loyalty in the Tanzanian microfinance sector
    (Springer Nature, 2022) Tegambwage, Amani Gration; Kasoga, Pendo Shukrani
    The study examines the mediating effects of relationship quality (RQ) on the link between its antecedents and loyalty as well as the impacts of individual antecedents of RQ on the two marketing of services outcomes, namely RQ and loyalty. A questionnaire derived from previous studies was completed by 424 microfinance institutions (MFIs) borrowers in Tanzania. Structural equation modeling (SEM) assessed the influence of the five individual antecedents of RQ, namely trust, commitment, satisfaction, communication, and conflict handling on RQ and loyalty, and the mediating effects of RQ between its antecedents and loyalty. All five individual antecedents were significant predictors of RQ, with conflict handling playing the biggest role. In addition, trust, communication, commitment, and conflict handling were significant predictors of customer loyalty, with trust exerting the strongest influence, while satisfaction had an insignificant influence. Moreover, RQ mediates the relationship between loyalty and trust, commitment, communication, and conflict handling, but cannot mediate the link between satisfaction and loyalty. The study contributes to the conceptualization of RQ and its consequences in the nascent field of microfinance services research. Building borrower loyalty to MFI requires an understanding and enhancement of trust, commitment, communication, and conflict handling. However, greater emphasis should be placed on trust because of its superior influence on borrower loyalty to MFI.