The impact of information communication technology (ICT) on competitiveness of postal services: the case of Tanzania posts corporation.

This study scrutinized the impact of Information Communication Technology (ICT) on the competitiveness of physical mail services provided by Tanzania Posts Corporation (TPC). The study came up due to the fact that there have been constant changes in the communication industry thus, necessitate the move to assess the position of the physical mail, the traditional means of communication in the modern ICT environment. The main objective of the study was to assess the impact of ICT - related technologies on mail business carried out by TPC. This involved investigating the setbacks facing TPC physical mail business as a result of ICT, assessing customer preferences and tastes, plus the level of customer satisfaction on mail business as compared to ICT- related services. Both qualitative and quantitative analysis were used. The historical approach guided the Literature review. Both deductive and inductive approaches were used. Stratified and purposeful sampling was used to select the respondents in urban and rural area categories. The study has found out that ICT has a negative impact on physical mails. Physical mail is declining. Customers are shifting from the physical mail to ICT-related services; like mobile phones, short message services (SMS), e-mail and other inter-net services. The shift is more significantly in highly developed urban centers rather than in rural areas, due to more availability and accessibility of ICT in urban centers. The study recommends that TPC should strategically position itself to adopt ICT related services in order to remain competitive in the communication industry. It should operate physical mail, electronic mail and hybrid mail. While at the same time improve its physical mail services in rural areas where it still holds a large market share because of the rural infrastructure.