Cashless Payment System: A Study on Perception of Small and Medium Retailers

Abstract

The cashless payment system has been prevailing strongly in every business field because of its unique and convenient nature. All the financial transactions have been made easier through this system. It has reduced the hassle of carrying physical cash and also the trepidation of losing money. Innovative technologies such as UPI, E-wallets, Mobile banking, Smart cards, etc., have encouraged digital transactions in businesses. Cashless payment system plays a crucial role in retail business due to the higher activity of transactions in the retail business. It helps the retailers in sustaining transparency and accountability of their business transactions. Due to digital illiteracy and security issues, many retailers and customers are still preferring the traditional cash payment system. Many initiatives have been taken up by the Indian government to promote digital transactions and subside the flow of black money to some extent which leads to the economic development of the country. The research study aims to understand the perception of the retailers of medium and small businesses in Andhra Pradesh. The study focuses on the awareness among the retailers towards cashless payment system and also the problems faced by them through this system. The primary data was collected from 100 respondents who were small and medium business retailers in the Kadapa district of Andhra Pradesh. The study concluded that most of the retailers have adopted and are using cashless payment system in their business.