INFORMATION AND COMMUNICATION TECHNOLOGY ADOPTION IMPACT ON FIRMS: A CASE STUDY OF UNIQUE TRUST BANK

This paper assessed how Information and Communication Technology adoption should be organized and managed to enhance the service innovation practices of the firm; and evaluate how service innovation practices improve the competitive advantages of a firm. The quantitative sampling technique was used to administer fifty questionnaires to a sample size of fifty respondents from the Headquarters of Unique Trust Bank. Data collected will be analyzed and interpreted using both descriptive and analytical approach. The paper analyzes both theoretically and empirically how Information and Communication Technology related spending can affect bank profits via competition in financial services that are offered by the banks. The paper utilizes a Hotelling model to examine the differential effects of the Information Communication Technology (ICT) in moderating the relationship between costs and revenue. The results from both methods indicated significant productivity improvement after the adoption of ICT. It concludes that, the implementation of modern technology increase the profitability of the firms and hence, increases productivity.