The Impact of Marketing and Technological Innovation on the Performance of Financial Technology Companies in the United Arab Emirates

International Journal of Business Society, Vol. 8, Issue 9
Jasem Mohammed AlshemeiliProf. Su’aidi Bin Dato’ Safei
Marketing InnovationTechnological InnovationFinancial Technology (Fintech)
PDFRegular IssueDOI: 10.30566/ijo-bs/2024.09.135
8Volume
9Issue

Abstract

The global financial market witnesses a tremendous progress of Financial Technology (Fintech). The companies working in this field have made a significant growth in recent years because of technological innovation and the advent of innovated marketing tools. The Fintech companies in UAE were not an exemption from the recent progress in this industry. However, there are limited number of studies that look into the innovativeness of FinTech companies in the UAE. Therefore, the relationship between marketing and technological innovation and the performance of Fintech companies were examined. This study used quantitative methods to test the hypotheses and surveying Fintech companies. Purposive sampling technique was in used in data collection procedure. The study sample includes 277 respondents who represent the IT staff working in Fintech firms. The findings show that marketing innovation, and technological innovation contribute to the growth and profitability of Fintech companies.

References

[1]

Abdulkader, A., & Benamraoui, A. (2020). FinTech Innovations: A Review of the Recent Developments and Prospects. Journal of Technologies, 12(1), 85-95.

[2]

Al Hammadi, T., & Nobanee, H. (2019). FinTech and Sustainability: A Mini-Review (December 9, 2019). Available at SSRN: https://ssrn.com/abstract=3500873 or http://dx.doi.org/10.2139/ssrn.3500873

[3]

Alblooshi, F.S.A.K. (2022). FinTech in the United Arab Emirates: A General Introduction to the Main Aspects of Financial Technology, in Sindakis, S. & Aggarwal, S. (Eds.) Entrepreneurial Rise in the Middle East and North Africa: The Influence of Quadruple Helix on Technological Innovation (Advanced Strategies in Entrepreneurship, Education and Ecology), Emerald Publishing Limited, Bingley, pp. 163-178.

[4]

Alkhazaleh, A. M. K. (2021). CHALLENGES AND OPPORTUNITIES FOR FINTECH STARTUPS: SITUATION IN THE ARAB WORLD. Academy of Accounting and Financial Studies Journal, 25(3), 1-14.

[5]

Alsamydai, Mahmood, Alnawas, Ibrahim, & Yousif, Rodina. (2010). The Impact of Marketing Innovation on Creating a Sustainable Competitive Advantage: The Case of Private Commercial Banks in Jordan. Asian Journal of Marketing, 4, 113-130. 10.3923/ajm.2010.113.130

[6]

Arifianto, C., & Veritia, V. (2022). Social network analysis: a competition in Indonesia’s fastest growing fintech. Journal Management, 24(1), 73-80.

[7]

Babukh, I., Nikiforov, P., Kinashchuk, S. (2020). Fintech as a driver for today’s financial market transformations: The Ukrainian Context.

[8]

Banerjee, A. (2020). Fintech revolution in the gulf countries and mena region.

[9]

Bashayreh, A., & Wadi, R. M. A. (2021). The effect of Fintech on banks’ performance: Jordan case. In The Importance of New Technologies and Entrepreneurship in Business Development: In The Context of Economic Diversity in Developing Countries: The Impact of New Technologies and Entrepreneurship on Business Development (pp. 812-821). Springer International Publishing.

[10]

Beck, T., Chen, T., Lin, C., & Song, F. M. (2016). Financial innovation: The bright and the dark sides. Journal of Banking & Finance, 72, 28-51.

[11]

Budnitz, M. (2016). The Legal Framework of Mobile Payments: Gaps, Ambiguities, and Overlap. PEW Trusts.

[12]

Bussoli, C., Conte, D., & Barone, M. (2022). Financial Effects of Fintech Merge In The Financial Sector: Evidence From An International Sample. Economic and Social Development: Book of Proceedings, 346-363.

[13]

Casquín Cachy, M. D. F., Cotohuanca Nima, K. P., Gonzales Poma, J. R., & Marcos Ramirez, S. S. (2022). The influence of IT adoption and marketing innovation on business performance moderated by absorptive capacity in fintechs in Peru.

[14]

Chen, T. Y., & Yeh, T. L. (2022). Enhancing value-in-use in the FinTech innovation context. Canadian Journal of Administrative Sciences/Revue Canadienne des Sciences de l'Administration.

[15]

Chesbrough, H., & Bogers, M. (2014). Explicating open innovation: Clarifying an emerging paradigm for understanding innovation. In H. Chesbrough, W. Vanhaverbeke, & J. West (Eds.), New Frontiers in Open Innovation: 3-28. Oxford: Oxford University Press.

[16]

David, De La Fuente, Fernandez- Vazquez, S., Rosillo, R., & Priore, P. (2019). Blockchain in FinTech: A mapping study. Sustainability, 11(22), 6366.

[17]

Dmour, Hani, Asfour, Futon, Al-Dmour, Rand, & Dmour, Ahmad. (2020). The Effect of Marketing Knowledge Management on Bank Performance Through Fintech Innovations: A Survey Study of Jordanian Commercial Banks. Interdisciplinary Journal of Information, Knowledge, and Management, 15, 203-225. 10.28945/4619

[18]

Fadhul, S., & Hamdan, A. (2020). The role of" fintech" on banking performance. In European Conference on Innovation and Entrepreneurship (pp. 911-XX).

[19]

Frame, W. S., & White, L. J. (2004). Empirical studies of financial innovation: lots of talks, little action. Journal of Economic Literature, 42(10), 116-144.

[20]

Gennaioli, N., Shleifer, A., & Vishny, R. (2012). Neglected risks, financial innovation, and financial fragility. Journal of Financial Economics, 104(3), 452-468.

[21]

Gimpel, H., Rau, D., & Roeglinger, M. (2018). Understanding FinTech start-ups – A taxonomy of consumer-oriented service offerings. Electronic Markets, 28, 245-264.

[22]

Gomber, P., Koch, J. A., & Siering, M. (2017). Digital Finance and FinTech: current research and future research directions. Journal of Business Economics, 87(5).

[23]

Hendershott, T., Zhang, X., Zhao, J. L., & Zheng, Z. (2021). FinTech as a game changer: Overview of research frontiers. Information Systems Research, 32(1), 1-17.

[24]

Iman, N. (2018). Is mobile payment still relevant in the FinTech era? Electronic Commerce Research and Applications, 30, 72-82.

[25]

Jílková, P. (2019). Product management and marketing innovation strategy. The 13th International Days of Statistics and Economics, Prague, September 5-7, 2019.

[26]

Kalay, F., & Gary, L. Y. N. N. (2015). The impact of strategic innovation management practices on firm innovation performance. Research Journal of Business and Management, 2(3), 412-429.

[27]

Kong, Y., & Masud, I. (2019). Service innovation, service delivery, and customer satisfaction and loyalty in the banking sector of Ghana. International Journal of Bank Marketing.

[28]

Lerner, J., & Tufano, P. (2011). The consequences of financial innovation: a counterfactual research agenda. Annual Review Financial Economics, 3(1), 41-85.

[29]

Mbugua, S. (2021). Innovation Strategy and Competitiveness of Fintech Companies in Nairobi, Kenya (Doctoral dissertation, University of Nairobi).

[30]

Mochama, E. K. (2021). Influence of Innovation Strategies on Competitive Advantage Among Fintech Companies in Kenya (Doctoral dissertation, University of Nairobi).

[31]

Nassiry, D. (2019). The Role of Fintech in Unlocking Green Finance —Policy Insights for Developing Countries; ADBI Working Paper 883; Asian Development Bank Institute: Tokyo, Japan, 2019; pp. 315–336.

[32]

Ng, A. W., & Kwok, B. K. (2017). Emergence of FinTech and cybersecurity in a global financial centre: Strategic approach by a regulator. Journal of Financial Regulation and Compliance, 25(4), 422-434.

[33]

Nuyens, H. (2019). How Disruptive Are FinTech and Digital for Banks and Regulators? Journal of Risk Management in Financial Institutions, 12(3), 217-222.

[34]

Putri, W. H., Nurwiyanta, N., Sungkono, S., & Wahyuningsih, T. (2019). The emerging fintech and financial slack on corporate financial performance. Investment Management & Financial Innovations, 16(2), 348.

[35]

Schindler, J. (2017). FinTech and Financial Innovation: Drivers and Depth, Finance and Economics Discussion Series 2017-081, Board of Governors of the Federal Reserve System, Washington.

[36]

Scott, F., & Larry, W. (2018). Technological Change and Financial Innovation in Banking: Some Implications for FinTech. Prepared for the Oxford Handbook of Banking, 3rd Edition. New York University.

[37]

Shim, Y., & Shin, D.H. (2016). Analyzing China's FinTech industry from the perspective of actor-network theory. Telecommunications Policy, 40, 168-181.

[38]

Sugiat, M. A., & Sudiana, K. (2020). Implementation of marketing innovation at PT. Pegadaian in the revolutionary 4.0. In Understanding Digital Industry (pp. 168-171). Routledge.

[39]

Tajudin, M., & Che, M. (2018). Issues and Trends in Open Innovation amongst Malaysian Fintech Start-ups. International Journal of Academic Research in Business and Social Sciences, 8, 22-24.

[40]

Yan, C., Siddik, A. B., Yong, L., Dong, Q., Zheng, G. W., & Rahman, M. N. (2022). A Two-staged SEM-artificial neural network approach to analyze the impact of FinTech adoption on the sustainability performance of banking firms: the mediating effect of green finance and innovation. Systems, 10(5), 148.

[41]

Zarrouk, H., El Ghak, T., & Bakhouche, A. (2021). Exploring economic and technological determinants of FinTech startups’ success and growth in the United Arab Emirates. Journal of Open Innovation: Technology, Market, and Complexity, 7(1), 50.

[42]

Zavolokina, L., Dolata, M., & Schwabe, G. (2016). The FinTech phenomenon: antecedents of financial innovation perceived by the popular press. Financial Innovation, 2(1), 1-16.

[43]

Zhao, Qun., Tsai, Pei-Hsuan, & Wang, Jin-Long. (2019). Improving Financial Service Innovation Strategies for Enhancing China’s Banking Industry Competitive Advantage during the Fintech Revolution: A Hybrid MCDM Model. Sustainability, 11(5), 1419.

Article Information

Article Details
Volume & IssueVol. 8, Iss. 9
Publication DateSep 29, 2024
Authors
Jasem Mohammed Alshemeili
Prof. Su’aidi Bin Dato’ Safei
DOI
10.30566/ijo-bs/2024.09.135
PDF Download
The Impact of Marketing and Technological Innovation on the Performance of Financial Technology Companies in the United Arab Emirates | International Journal of Business Society