The role of collectivist cultural practices in supporting a hybrid payment system among small and medium enterprises (SMEs) in Pakistan

Despite having to rely on hybrid payment systems that combine manual and electronic methods, less developing countries such as Pakistan still manage to perform business transactions successfully. This success is partly due to the indigenous collectivist cultural practices in Pakistan society. However, an explanation of how indigenous culture supports information systems in general, and in particular payment systems, is scarce. This study adds to the knowledge of culture and information systems by exploring how indigenous culture in Pakistan enables hybrid payment systems to flourish. A case study was conducted in the marble industry of KPK Pakistan where qualitative data were collected through semi-structured interviews with the industry's participants. The findings highlight the role of the indigenous collectivist cultural practice of Pakhtunwali in successfully implementing the hybrid payment system in SMEs in Pakistan. The study makes a theoretical contribution to knowledge about culture and payment systems by examining the role of collectivist cultural practices in supporting the hybrid payment system in Pakistan. The study highlights the role of collectivist cultural practices in overcoming the limitations of the hybrid payment system. The study also informs SME owners/managers about the importance of local cultural practices in Pakistan and how these can be utilized and maintained to improve the transactional practices of businesses.