CHAPTER FIVE

MAJOR FINDING, CONCLUSION AND RECOMMENDATION

5.0 INTRODUCTION

This chapter focuses on summarizing of the research findings, major challenges met during the
study and as well as the corrections of what have been found during of the research gathering
data. In other words this chapter covers the conclusion of the research and its recommendations.
The study aims to investigate the role of the financial statement on investment decision making
at some selected companies in Mogadishu-Somalia.

5.1 THE MAJOR FINDINGS OF THE STUDY

There are several findings that have been established in this study about the financial statement
on investment decision making at some selected companies in Mogadishu.

5.1.1 Automated teller machine

Automated teller machine (ATM), also known as a Cash Point, Cash Machine, is a computerized
telecommunications device that provides the clients of a financial institution with access to
financial transactions in a public space without the need for a cashier, human clerk or bank teller
(DeYoung, 2005).

Singh (2009) described ATM as ’Avoid Travelling with Money’ or ‘Any Time Money’ but
certainly it implies both. He asserts that Slim ATM cards are fast replacing compounding
withdrawal form as a convenient way of getting your money from banks. A smart person no
longer needs to carry a wallet-full of paper money on his person. All he needs to do is fish-out an
ATM card inserts it in the slot, punch in a few details and go home with hard cash. According to
Asabere et al (2012), It is believed by some people that Luther George Simjian was the inventor
of ATM because his idea came first. Some also believed it was Dan Wetzel because he’s got
patents on display in the Museum of American History to prove it. Still others, including the
Queen of England believe the inventor of ATM is John Shepherd-Barron. John D.
5.1.2 Debt and credit card

Credit card is any card that may be used repeatedly to borrow money or buy products and
services on credit. Card that may be used repeatedly to borrow money or buy products and
services on credit. Credit cards are issued by financial institutions, retail stores, and other
businesses. A credit card offers the card holder revolving credit that can be paid monthly with as
little as the required minimum payment. (Francesca and Claeys, 2010).

5.1.3 Mobile banking

Mobile banking is performing banking transactions through a mobile device such as a mobile
phone or Personal Digital Assistant (Boston Consulting Group, 2009).

M-banking can be defined as a channel whereby the customer interacts with a bank via a mobile
device, such as a mobile phone or personal digital assistant (PDA). The emphasis is on data
communication, and in its strictest form m-banking does not include telephone banking, either in
its traditional form of voice dial-up, or through the form of dial-up to a service based on touch
tone phones

Research on Information System, has been created a new wave of mobile computing research
efforts that seek to understand the relationship with business and community organizations in
terms of computing services. In this case studies focused on aspects of mobile technology, such
as usability, ubiquity and context awareness, interaction and adoption. In these aspects, adoption
is a fundamental because without it, none of the other aspects can be clear or significant without
it. Access to mobile data services can be a distinct part depending on technology or performance
type. For example, Wiredu (2007) mobile computing models on the service information type that
can be obtained from the portable ICT and claims that this service, To factors such as
technology, nature of duties, and supply conditions in terms of time, space and context that the
user is using mobile ICT is artificial effect.

5.2 Conclusions

This study was examining the freight direct investment on economic development some selected
banks in Mogadishu. The target population of this study was 60 and sample size was 52 contain
employees at two banks: premier bank, and IBS banks, instrument used in this study was
questionnaire. The study was conducted through a descriptive design; To determine how
Automated teller machine effect financial performance of Mogadishu commercial banks, To
evaluate how debt and credit card effect financial performance of Mogadishu commercial banks,
To examine how mobile banking effect financial performance of Mogadishu commercial banks.
And has been used and collecting primary data process of this study (Oso, 2008). The study also
found that there is positive significant relationship between bank innovation and financial
performance of commercial banks at some selected banks in Mogadishu-Somalia. And the
relationship is measured with R-value= 0.797** and P-value=0.000 and this results indicate that
there is strong positive relationship between bank innovation and financial performance of
commercial banks

5.3 RECOMMENDATION:

From the findings of this study, I recommend that sample size is selected to curry out research.
This will enable a representative research on the effect of bank innovation on financial
performance of commercial banks in Mogadishu.

 The study recommends that more finance to be set side to facilitate data collection this
will overcome financial challenges that may hinder completion of extensive research.
 The study also recommends that more quality time is set side to curry out research. This
will allow a more conclusive research to enable one collect more data and analyze over
longer period of time.
 The study also recommends that qualitative aspects of financial performance are
incorporated in the model. This will enable one capture both qualitative and quantitative
aspects of financial performance.

5.4 AREAS FOR FURTHER RESEARCH

This study did not include all bank innovations and a further study is recommended to include
innovations like Automatic teller machine, credit and debit card and mobile banking and their
influence on the financial performance of commercial banks. A more detailed study can be
conducted to establish whether the adoption of bank innovations contributed to financial
deepening in Somalia.