The Benefits and Security Challenges of Cashless Systems for Women Entrepreneurs in Rapidly Developing Economies: A Case Study of Gauteng Province, South Africa

Abstract

Background
In rapid developing economies it is difficult to see a full digital adoption especially in business owned by woman. The study explores the benefits and security challenges of cashless system for woman entrepreneurs in rapid developing economies under formal and informal structure. This research examines the implementation and effects of cashless payment systems among women entrepreneurs in Gauteng, South Africa, within the broader context of digital financial inclusion and gender empowerment. This study analyses the increasing focus on mobile money platforms, point-of-sale devices, QR code payments, and banking applications in improving financial access and operational efficiency in emerging economies. Technological advancements have not eradicated gendered and structural barriers, which continue to restrict equitable participation in South Africa’s cashless economy.
Methods
The study utilises a mixed-method research design, integrating qualitative and quantitative approaches to capture measurable trends and lived experiences. A purposive sample of 201 women-led enterprises spanning eight sectors: technology, retail, agriculture, manufacturing, services, events, consultancy and beauty was analysed. Qualitative data collected from semi-structured interviews were subjected to thematic analysis using NVivo software, highlighting complex socio-economic, cultural, and technological factors. Quantitative data were analysed using Chi-square tests, ANOVA, correlation, and logistic regression to assess the relationships between business characteristics and cashless adoption.
Results
The findings indicate that 58% of respondents utilise cashless systems as their primary transaction method, with greater adoption observed in the technology and consultancy sectors relative to agriculture and retail. The primary factors influencing adoption are perceived business value, operational efficiency, and customer convenience. Conversely, obstacles such as high transaction fees, limited digital literacy, and cybersecurity concerns impede uptake, especially among microenterprises and entrepreneurs with lower educational levels. Quantitative analysis revealed a positive correlation between cashless adoption and business performance indicators, including revenue growth, customer retention, and operational efficiency.
Discussion and Conclusion
The study concludes that cashless systems can significantly improve the financial resilience and market access of women entrepreneurs; however, systemic interventions are required to address existing inequalities. Recommendations include gender-responsive policies, tiered digital literacy training, subsidized transaction fees, and enhanced cybersecurity frameworks. This research positions women entrepreneurs as essential contributors to the shift towards a digital economy, enhancing academic discourse and providing practical insights for policymakers, fintech innovators, and development practitioners focused on promoting inclusive and sustainable digital financial ecosystems.