Adoption and commitment to online banking in Pakistan using the technology acceptance model
-
Author(s)Usman Muhammad NooruddinLink to ORCID Index: https://orcid.org/0000-0001-8512-2290
,
Muhammad Sufyan RamishLink to ORCID Index: https://orcid.org/0000-0001-6181-1649
,
Naureen MunirLink to ORCID Index: https://orcid.org/0000-0003-3948-1940
,
Shiraz AhmedLink to ORCID Index: https://orcid.org/0000-0002-5417-1345
,
Junaid AnsariLink to ORCID Index: https://orcid.org/0000-0003-1603-7038
-
DOIhttp://dx.doi.org/10.21511/bbs.17(4).2022.13
-
Article InfoVolume 17 2022, Issue #4, pp. 154-166
- 427 Views
-
129 Downloads
This work is licensed under a
Creative Commons Attribution 4.0 International License
The paper proposes a model for quantitatively analyzing the link between Privacy, Usability, Government Support, Perceived Ease of Use, Perceived Usefulness, Intention to Use and Commitment in the online banking context in Pakistan. In Pakistan (comparing to the size of bank accounts open), few people benefit from online banking and prefer the physical approach. This study analyzes how conventional banking users can be converted to online users, thus reducing the crowds at banks for menial tasks, giving banks more time to focus on corporate clients. For this purpose, an online survey was distributed via social messengers and websites. Out of the collected data, 310 normalized samples were analyzed using correlation and multiple linear regressions. The findings showed that except “Privacy”, “Usability” and “Government Support” had a relationship with “Perceived Ease of Use” where “Privacy” showed no significant impact. “Privacy” had a significant relationship with “Perceived Usefulness”, as did “Perceived Ease of Use”, and “Perceived Usefulness” and “Perceived Ease of Use” had a significant relationship with “Intention to Use”; “Intention” also had a significant relationship with “Commitment to Use Online Banking”. Thus, it is concluded that banks need to realize that bank customers require ease of access and use in order to successfully adapt to the use of online banking, despite the users not being very cautious about online privacy that banks require to ensure on their end, regardless of the user’s thought process.
- Keywords
-
JEL Classification (Paper profile tab)M10, M15, M30, G2
-
References67
-
Tables8
-
Figures1
-
- Figure 1. Proposed hypothesized conceptual framework
-
- Table 1. Demographics of the data collected
- Table 2. Descriptive statistics
- Table 3. Reliability analysis
- Table 4. Correlation analysis of the data collected
- Table 5. Construct validity analysis
- Table 6. Discriminant validity test
- Table 7. SEM coefficients and direct effect checks
- Table 8. Mediation analysis via bootstrapping
-
- Abdul-Hamid, I. K., Shaikh, A. A., Boateng, H., & Hinson, R. E. (2019). Customers’ perceived risk and trust in using mobile money services-an empirical study of Ghana. International Journal of E-Business Research, 15(1), 1-19.
- Abid, H., & Noreen, U. (2006). Ready to E-bank: An exploratory research on adoption of e-banking and e-readiness in customers among commercial banks in Pakistan. Spider, 31(2), 1-31.
- Adams, D. A., Nelson, R. R., & Todd, P. A. (1992). Perceived usefulness, ease of use, and usage of information technology: A replication. MIS Quarterly: Management Information Systems, 16(2), 227-247.
- Ajzen, I. (1985). Action Control: From Cognition to Behavior. Springer.
- Alsajjan, B., & Dennis, C. (2010). Internet banking acceptance model: a cross-market examination. Journal of Business Research, 63(9-10), 957-963.
- Al-Somali, S. A., Gholami, R., & Clegg, B. (2009). An investigation into the acceptance of online banking in Saudi Arabia. Technovation, 29(2), 130-141.
- Alwan, H. A., & Al-Zu’bi, A. I. (2016). Determinants of Internet Banking Adoption among Customers of Commercial Banks: An Empirical Study in the Jordanian Banking Sector. International Journal of Business and Management, 11(3), 95-104.
- Benassi, P. (1999). TRUSTe: an online privacy seal program. Communications of the ACM, 42(2), 56-59.
- Burney, S. A., Ali, S. A., Ejaz, A., & Siddiqui, F. A. (2017). Discovering the Correlation between Technology Acceptance Model and Usability. IJCSNS International Journal of Computer Science and Network Security, 17(11), 53-61.
- Casaló, L. V., Flavián, C., & Guinalíu, M. (2007). The role of security, privacy, usability and reputation in the development of online banking. Online Information Review, 31(5), 583-603.
- Celik, H. (2008). What determines Turkish customers’ acceptance of internet banking? International Journal of Bank Marketing, 26(5), 353-370.
- Chandio, F. H. (2011). Evaluating User Acceptance of Online Banking Information Systems: An Empirical Case of Pakistan. Brunel University West London.
- Chandio, F. H., Irani, Z., Abbasi, M. S., & Nizamani, H. A. (2013). Acceptance of online banking information systems: an empirical case in a developing economy. Behaviour & Information Technology, 32(7), 668-680.
- Cheng, T. C. E., Lam, D. Y. C., & Yeung, A. C. L. (2006). Adoption of internet banking: an empirical study in Hong Kong. Decision Support Systems, 42(3), 1558-1572.
- Cheung, C. M., & Lee, M. K. (2001). Trust in Internet Shopping. Journal of Global Information Management, 9(3), 23-35.
- Chong, A. Y. L., Ooi, K. B., Lin, B., & Tan, B. I. (2010). Online banking adoption: An empirical analysis. International Journal of Bank Marketing, 28(4), 267-287.
- Clark, R. (2017). Convenience Sample. The Blackwell Encyclopedia of Sociology, 1-2.
- Consumer Confidence Index (CCI). (2020). Consumer Confidence Survey September 2020 (53rd Wave).
- Dar, N. A. (2006). Awareness of electronic banking in Pakistan. Proceedings of 2nd International Conference on Business Management.
- Davis, F. D. (1989). Perceived usefulness, perceived ease of use, and user acceptance of information technology. MIS Quarterly: Management Information Systems, 13(3), 319-339.
- Debatin, B., Lovejoy, J. P., Horn, A.-K., & Hughes, B. N. (2009). Facebook and online privacy: Attitudes, behaviors, and unintended consequences. Journal of Computer-Mediated Communication, 15(1), 83-108.
- Dhagarra, D., Goswami, M., & Kumar, G. (2020). Impact of Trust and Privacy Concerns on Technology Acceptance in Healthcare: An Indian Perspective. International Journal of Medical Informatics, 141, 104164.
- Flavián, C., Guinalíu, M., & Gurrea, R. (2006). The role played by perceived usability, satisfaction and consumer trust on website loyalty. Information and Management, 43(1), 1-14.
- Fornell, C., & Larcker, D. F. (1981). Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research, 18(1), 39-50.
- Gautam, L., & Khare, S. K. (2014). E-Banking in India: Issues and challenges’. Scholar Journal of Economics, Business and Management, 1(2), 54-56.
- Hair, J. F., Black, W. C., Babin, B. J., Anderson, R. E., & Tatham, R. L. (2006). Multivariate Data Analysis (6th ed.). Upper Saddle River, NJ: Pearson Prentice Hall.
- Hale, J. L., Householder, B. J., & Greene, K. L. (1967). Theory of Reasoned Action. In J. P. Dillard & M. Pfau (Eds.), The Persuasion Handbook: Developments in Theory and Practice (Chapter 14).
- Huser, V., Narus, S. P., & Rocha, R. A. (2010). Evaluation of a flowchart-based EHR query system: A case study of RetroGuide. Journal of Biomedical Informatics, 43(1), 41-50.
- Jaruwachirathanakul, B., & Fink, D. (2005). Internet banking adoption strategies for a developing country: The case of Thailand. Internet Research, 15(3), 295-311.
- Jeyaraj, A., Rottman, J. W., & Lacity, M. C. (2006). A review of the predictors, linkages, and biases in IT innovation adoption research. Journal of Information Technology, 21, 1-23.
- Kozinets, R. V., De Valck, K., Wojnicki, A. C., & Wilner, S. J. S. (2010). Networked Narratives: Understanding Word-of-Mouth Marketing in Online Communities. Journal of Marketing, 74(2).
- Lallmahamood, M. (2007). An Examination of Individual’s Perceived Security and Privacy of the Internet in Malaysia and the Influence of This on Their Intention to Use E-Commerce: Using an Extension of the Technology Acceptance Model. Journal of Internet Banking and Commerce, 12, 1-26.
- Lehoux, P. (2004). Patients’ perspectives on high-tech home care: A qualitative inquiry into the user-friendliness of four technologies. BMC Health Services Research, 4(1), 28.
- Lemenager, T., Neissner, M., Koopmann, A., Reinhard, I., Georgiadou, E., Müller, A., Kirfer, F., & Hillemacher, T. (2021). COVID-19 lockdown restrictions and online media consumption in Germany. International Journal of Environmental Research and Public Health, 18(1), 14.
- Liu, C.-C. (2008). The relationship between digital capital of internet banking and business performance. International Journal of Electronic Finance, 2(1), 18-30.
- Lowry, P. B., Gaskin, J. E., Twyman, N. W., Hammer, B., & Roberts, T. L. (2013). Taking “fun and games” seriously: Proposing the hedonic-motivation system adoption model (HMSAM). Journal of the Association for Information Systems, 14(11), 617-671.
- Lukovic, V. (2021). Online Banking and Information Technology During the Covid-19 Pandemic: Between the Need and the Ability of Banks and Customers (EasyChair Preprint No. 5778).
- Meena, R. (2013). Green Banking: As Initiative for Sustainable Development. Global Journal of Management and Business Studies, 3(10), 1181-1186.
- Montazemi, A. R., & Qahri-Saremi, H. (2015). Factors affecting adoption of online banking: A meta-analytic structural equation modeling study. Information & Management, 52(2), 210-226.
- Montgomery, D. C., & Runger, G. C. (2014). Applied statistics and probability for engineers. Wiley.
- Moon, J.-W., & Kim, Y. G. (2001). Extending the TAM for a World-Wide-Web context. Information & Management, 38(4), 217-230.
- Morgan, R. M., & Hunt, S. D. (1994). The commitment-trust theory of relationship marketing. Journal of Marketing, 58(3), 20-38.
- Nasri, W., & Charfeddine, L. (2012). Factors affecting the adoption of Internet banking in Tunisia: An integration theory of acceptance model and theory of planned behavior. Journal of High Technology Management Research, 23(1), 1-14.
- O’Cass, A., & Fenech, T. (2003). Web retailing adoption: exploring the nature of internet users Web retailing behaviour. Journal of Retailing and Consumer Services, 10(2), 81-94.
- Pakistan Telecommunication Authority (PTA). (2019). Overview of Pakistan Telecom Sector, Initiatives and challenges.
- Pikkarainen, T., Pikkarainen, K., Karjaluoto, H., & Pahnila, S. (2004). Consumer acceptance of online banking: An extension of the technology acceptance model. Internet Research, 14(3), 224-235.
- Rahimuddin, M., & Bukhari, S. A. A. (2010). E-Banking System in Pakistan (Master’s Thesis).
- Santos, J. R. A. (1999). Cronbach’s alpha: A tool for assessing the reliability of scales. Journal of Extension, 37(2), 1-5.
- Sekeran, U. (2003). Research Methods for Business: A Skill-Building Approach (4th ed.). John Wiley & Sons, New York.
- Shih, Y. Y., & Fang, K. (2004). The use of a decomposed theory of planned behavior to study Internet banking in Taiwan. Internet Research, 14(3), 213-223.
- State Bank of Pakistan. (2019). Payment Systems Review. Fiscal Year 2018–19. Payment Systems Department.
- Szajna, B. (1996). Empirical evaluation of the revised technology acceptance model. Management Science, 42(1), 85-92.
- Szopiński, T. S. (2016). Factors affecting the adoption of online banking in Poland. Journal of Business Research, 69(11), 4763-4768.
- Tan, M., & Teo, T. S. H. (2000). Factors Influencing the Adoption of Internet Banking. Journal of the Association for Information Systems, 1, 5.
- Venkatesh, V., & Bala, H. (2008). Technology acceptance model 3 and a research agenda on interventions. Decision Sciences, 39(2), 273-315.
- Venkatesh, V., & Davis, F. D. (2000). Theoretical extension of the Technology Acceptance Model: Four longitudinal field studies. Management Science, 46(2), 186-204.
- Venkatesh, V., Morris, M. G., Davis, G. B., & Davis, F. D. (2003). User acceptance of information technology: Toward a unified view. MIS Quarterly: Management Information Systems, 27(3), 425-478.
- Walpole, R. E., & Myers, R. H. (2012). Probability & statistics for engineers & scientists. Pearson Education Limited.
- Wang, Y. K., & Datta, P. (2009). A Technology Commitment Model of Post-Adoption Behavior Understanding Start-up entrepreneurial behavior View project. Information Resources Management Journal, 22(4), 1-22.
- Weinstein, A., & Lejoyeux, M. (2010). Internet Addiction or Excessive Internet Use. The American Journal of Drug and Alcohol Abuse, 36(5), 277-283.
- Wikipedia. (n.d.). Technology acceptance model.
- Wong, E. Y. C., & Zhou, E. (2015). Assessing factors in mobile marketing context model adopting TAM, Commitment-Trust Theory, environment and emotional items in facilitating purchasing intention. 2015 12th International Conference on Service Systems and Service Management, ICSSSM. Institute of Electrical and Electronics Engineers Inc.
- Wu, J. H., & Wang, S. C. (2005). What drives mobile commerce? An empirical evaluation of the revised technology acceptance model. Information and Management, 42(5), 719-729.
- Yahya, F., Hassan, Y., & Amin, M. (2011). Awareness of Electronic Banking in Pakistan. Global Journal of Computer Science and Technology, 11(17), 13-22.
- Yeow, P. H. P., Yuen, Y. Y., Tong, D. Y. K., & Lim, N. (2008). User acceptance of Online Banking Service in Australia. Communications of the IBIMA, 1, 191-197.
- Yiu, C. S., Grant, K., & Edgar, D. (2007). Factors affecting the adoption of Internet Banking in Hong Kong – implications for the banking sector. International Journal of Information Management, 27(5), 336-351.
- Zahid, N., Mujtaba, A. & Riaz, A. (2010). Consumer Acceptance of Online Banking. European Journal of Economics, Finance and Administrative Sciences, 27, 44-52.
-
The role of filial piety in career interest alignment, identity alignment, and affective commitment: Evidence from Indonesia
Sakti Hendra Pramudya 
,
Jhanghiz Syahrivar ,
Chairy Chairy
doi: http://dx.doi.org/10.21511/ppm.20(1).2022.35
Problems and Perspectives in Management Volume 20, 2022 Issue #1 pp. 432-444 Views: 1961 Downloads: 367 TO CITE АНОТАЦІЯIn Indonesia, where most business organizations are family-owned, culture influences family employees’ behavior. Filial piety, or honoring the seniors, is considered a significant cultural value that motivates the family employees to be committed to the business. This study aims to test the effect of filial piety on identity alignment, career interest alignment, and affective commitment. Quantitative analysis is conducted to test the hypotheses of this study using purposive sampling based on questionnaire survey responses from 270 junior family business employees. The study employs Partial Least Square-Structural Equation Modelling (PLS-SEM) analysis with the SmartPLS software to test the hypotheses. The test result shows that: 1) filial piety has a positive effect on identity alignment and career interest alignment, 2) identity alignment has a positive effect on affective commitment, and 3) career interest alignment has a positive effect on affective commitment. The study illustrates how filial piety affects junior family employee behavior, an issue that has not been addressed before in Asian family business studies.
Acknowledgment
The publication of this study is supported by Indonesia International Institute for Life Sciences (i3L) LPPM fund. -
Financial inclusion and banks' performance: Evidence from Palestine
Fadi Shihadeh
doi: http://dx.doi.org/10.21511/imfi.18(1).2021.11
Investment Management and Financial Innovations Volume 18, 2021 Issue #1 pp. 126-138 Views: 1457 Downloads: 1114 TO CITE АНОТАЦІЯThis study aims to examine the relationship between financial inclusion indicators and bank performance in Palestine. The study population and its sample include all 15 banks operating in Palestine and cover the period 2006 to 2016 with panel data from 162 observations. To interpreter the variables, the study uses the volume of loans to SMEs (usage), banking penetration, number of ATMs and branches (access), and online banking, the latter if it is a dummy variable. Further, the study uses operational profits, total revenues and ROE as bank performance indicators and dependent variables. Using empirical analysis, the results indicated that banking penetration tools, branching and ATMs, could enhance bank performance. Despite the decline in lending to SMEs, this factor could positively improve the performance of banks in Palestine. In general, financial inclusion helps banks improve their performance and increase their revenues. This study recommends that government organizations can use the obtained results to formulate their strategies and agendas for improving financial inclusion in Palestine and other developing countries.
Acknowledgment
The author is thankful to Bo Liu and Azzam Hanoon for their comments and suggestions to improve this paper. The author discloses that funding for the writing of this paper comes from the TAAWON research fund. -
The influence of trust, communication and commitment on ethical behavior in universities: a case of South Africa
Problems and Perspectives in Management Volume 15, 2017 Issue #2 (cont. 1) pp. 266-276 Views: 1390 Downloads: 603 TO CITE АНОТАЦІЯThis study examines the influence of trust, communication and commitment, that have on ethical behavior in universities in the Gauteng province of South Africa. Three hypotheses are posited in this research. The empirical test of hypotheses based on a sample data set of 450 respondents from universities in the Gauteng province of South Africa was provided. IBM SPSS statistics 24.0 and IBM SPSS Amos 24.0 software were used to analyze the data. The results indicate that trust, communication and commitment positively influence ethical behavior in universities. Drawing from the study’s findings, managerial implications are discussed and limitations and future research directions are suggested. This study contributes new knowledge to the existing body of ethical behavior literature and organizational behavior theories in Africa.
