Abstract
M.Com. (Business Management)
The smart card concept was first patented in 1970 by Dr. Kunitaka Arimura of Japan and further developments of the smart card took place throughout the 1970s (History of Smart Cards) and development still continues today. A Contactless Smart Card (CSC) is a card the same size of a credit card which consists of a chip, a magstrip and an antenna imbedded in the card. The purpose of the antenna is to communicate with a contactless card reader eliminating the need to insert the card into a Point of Sale (POS) terminal. The main purpose of the contactless feature is to facilitate transactions below R200 as well as speed up these low value transactions by eliminating the need to insert a Personal Identification Number (PIN). This allows card holders to pay for goods or services quickly and it also enables retailers and service providers to increase their throughput. The CSC can be used in both retail and transit environments and in South Africa, the CSC is the latest development in electronic fare media for transit operators and it also forms part of an Automated Fare Collection System (AFC).
Smart card technology in South Africa for public transport use is still a new concept, but is now visible with the Gautrain rail service in Gauteng, and the MyCiTi bus service in the Western Cape. Applying an AFC system to the South African taxi industry would be a step in the right direction towards formalising the taxi industry and aligning it with that of more developed countries. This would mean that taxi owners, drivers and commuters would have to migrate from what is a predominantly cash based industry to using a CSC for fare media payments. Previous research on this topic is limited and therefore, this research sought out to determine the views of selected South African taxi owners regarding adopting an AFC system in the South African taxi industry. The research objectives of the study were to determine the levels of awareness and knowledge of an AFC system among selected South African taxi owners, to determine the perceptions of the benefits, barriers and industry challenges to adopting an AFC system of selected South African taxi owners and to determine the views of selected South African taxi owners of the role of the National Department of Transport (NDoT) in adopting an AFC system...