Question

explain each component of Catwoe with particular reference to a fintech firm (eg Vpay, zeepay)

Answer 1

CATWOE Analysis is a method of problem solving that asks you to look at an issue from six unique perspectives. This in-depth approach requires that you think about any given problem in a variety of ways, and you will find that you have a better understanding and appreciation for the issue after you do so. The six elements that are to be considered in a CATWOE analysis are as follows –

• Customers
• Actors
• Transformation Process
• World View
• Owner
• Environmental Constraints

Customers	Individual customers using online, mobile, digital wallet payments; B2B firms sending funds to each other
Actors	Mobile money wallets, cards, ATMs, Bank Account and Digital tokens to International Money Transfer Operators, Payments, Subscriptions, International Airtime and Refugee payments
Transformation Process	Development of gateways, POS terminal, awareness and safety feeling among users, recognition from the regulatory authority, compatibility with existing systems of banks
World View	With the advent of smartphones, the effect will be long term. Previously there were metal coin currency, then came paper currency, then plastic currency like credit, debit cards and future will be digital currency and transaction
Owner	Technology firms are the owners which will facilitate in the transaction as they will bring ease of use, simplicity, safety and speed
Environmental Constraints	The startup funding for these type of companies have been above average, the budget requirement are also low as this is not a brick and mortar industry, and the resistance may come from the existing system like banks. But many banks have started investing or developing in these projects seeing its future advantages.