Studying acceptance of online banking information system: A structural equation model

This thesis was submitted for the degree of Doctor of Philosophy and awarded by Brunel University.Acceptance of information technology (IT) has remained a topic of interest for a last few decades. Several theories, specifically over the conceptualisation of the technology acceptance model (TAM) have emerged and they have been applied in different contexts to investigate new insights into the acceptance behaviour at individual and organisational levels. However, despite TAM’s maturity and validity in different contexts, very little published literature strives to extend its capability to predict individuals’ acceptance behaviour about an online banking information system (OBIS). A possible rational for this gap may be conceptualisation of the TAM under which individuals’ acceptance behaviour can only be predicted with two beliefs: perceived ease of use (PEOU) and perceived usefulness (PU). The evidence in literature shows that PU and PEOU beliefs are not sufficient; hence, they may not explain individuals’ acceptance behaviour in emerging contexts, such as online banking information systems, especially in developing economies such as Pakistan. There is therefore a need for inclusion of any additional factor that can enhance prediction of acceptance of online banking information system by potential users. Extending research on the TAM, this study developed and tested a model of OBIS acceptance. The proposed model integrated key constructs from the information systems acceptance research stream into the theoretical frame of the TAM and other theories from social psychology, such as the theory of reasoned action (TRA), theory of planned behaviour (TPB) and the TAM2. According to the proposed conceptual model, OBIS acceptance was determined by eight main factors, which included perceived usefulness, perceived ease of use, trust, technological self-efficacy, response time, output quality, accessibility, and terminology clarity. In this model, PU was hypothesised to be affected by PEOU, trust, technological self-efficacy (TSE), output quality (OQ) and response time (RT). In addition, PEOU was hypothesised to be determined by three external factors: TSE, accessibility and terminology clarity (TC). The model was tested on a sample of 353 Internet banking users in Pakistan. Using structural equation modelling with Analysis of Moment Structures (AMOS) software, data analysis showed considerable support for the extended hypothesised model. The result indicated that, in order of importance, PU, PEOU and trust explained 45.7 % of the variance in the acceptance behaviour. The trust and the TSE predicted 28.1 % of the variance in the PU. However, the hypothesised relationships between the PU and the PEOU, OQ and RT were found to be not significant. While in the PEOU, 21.8 % of the variance was predicted by the TSE, accessibility and TC. TSE was found to be a more influential determinant of the PEOU than the PU. The consideration of factors that have a significant influence on the acceptance of OBIS, as identified in this research, is important for the managers in the banking sector, especially in developing countries, in order to increase wider acceptance and use of these systems, which provide benefits to both the customers and the service providers.University of Sind

Analyzing the use of UTAUT model in explaining an online behaviour: Internet banking adoption

This thesis was submitted for the degree of Doctor of Philosophy and awarded by Brunel University.Technology acceptance research is a constantly developing field. The disciplines that contributed to its development are either beliefs focused or system focused. The unified theory of acceptance and use of technology (UTAUT) combined both. The current research model proposes an extension to the UTAUT that accounts for online usage behaviour. The proposed research model is tested in two countries (UK and Jordan) to investigate the viability of the unified model of technology acceptance in different boundaries as a model of individuals’ discretionary usage of Internet banking. The study also questions the roles of other determinants and moderators in this context. Results found support for the effect of the proposed extension, website quality perceptions, on usage behaviour in both countries’ models; the total effect of this extension exhibited website quality perceptions the most influential determinant of usage behaviour in both models and performance expectancy construct was second in effect. Social influence had no impact on the usage behaviour in both models, which is consistent with previous research that advocates a declining role of social influence under discretionary usage and increased experience conditions. Furthermore, the moderating role of performance expectancy previously established in TAM’s research was supported in the UTAUT model in both countries’ models. Moreover, both models reported a non-moderating effect of gender, which, is also in line with recent research findings that suggest declining gender differences under voluntary usage conditions and advanced experience. Education and income were moderators only for the UK model. Although the research findings demonstrated that both countries’ models were “configurally” similar with respect to model specifications, the models’ explanatory power for usage behaviour was dissimilar: the UK’s model explanatory power exceeded that of Jordan’s model presenting an opportunity for future research. The current research contributes to knowledge in the field of technology acceptance research. It demonstrated that website quality perceptions, as a multidimensional concept, play an important role in the online usage context. It also demonstrated that the unified model of technology acceptance established in the western culture can be transferred to a non-western culture although with varying degrees of explanation power

Online banking in Bahrain : role of attitudes and beliefs in shaping consumer behavior toward adoption

The advancesin communicationa nd computert echnology and the availability of the Internet have made it possible that people can do most of their banking transactions from a remote location even without having the need to visit their local branch. With the growing reputation of Bahrain as a financial centre in the Arabian Gulf region, existing banks face intensive competition from new comers which made the banking industry in Bahrain opt for a more aggressive approach in the development of new online banking services. This thesis reports key findings from an empirical study of the Bahraini banking customer experiences with the adoption of online banking. It provides an understanding of what and how the specific factors influence the decision making process of the bank customers whether or not to bank on the Internet in the Bahraini context. It utilises a theoretical model to examine the intent to adopt online banking service. Using an amalgamated model adapted from two models in the fields of technology research and technology acceptance, this research analysed the relationships between the intention to adopt online banking services and the attitude toward online banking use, subjective norm toward online banking use, selected user perceptions (perceived usefulness, perceived ease of use, perceived risk, perceived behavioural control) and selected user characteristics (age and income). A questionnaire was employed to collect the data for this research and path analysis was used to analyse the relationships between the proposed model variables. Out of the 13 original model hypotheses, 9 were confirmed. However, the overall model was found to be weak in explaining the relationships regardless of their significance. Furthermore, current non-users were segmented and a binary logistic regression was used to predict the possibility of future adoption among this segment. It was concluded that about 88% of current non-users are predicted to be future online banking users in Bahrain. In general, the behavioural intention to adopt online banking service in Bahrain was found to be driven primarily by attitudes toward online banking services, and customers' perceived behavioural control. The practical and theoretical implications of these findings are discussed. In summary, this research helps to identify perceptions and factors that explain the intention to adopt online banking service. These factors may be important to the banks and policy makers who wish to encourage the widespread adoption of online banking services in BahrainEThOS - Electronic Theses Online ServiceGBUnited Kingdo

Online banking in Bahrain: role of attitudes and beliefs in shaping consumer behavior toward adoption

The advances in communication and computer technology and the availability of the Internet have made it possible that people can do most of their banking transactions from a remote location even without having the need to visit their local branch. With the growing reputation of Bahrain as a financial centre in the Arabian Gulf region, existing banks face intensive competition from new comers which made the banking industry in Bahrain opt for a more aggressive approach in the development of new online banking services.This thesis reports key findings from an empirical study of the Bahraini banking customer experiences with the adoption of online banking. It provides an understanding of what and how the specific factors influence the decision making process of the bank customers whether or not to bank on the Internet in the Bahraini context. It utilises a theoretical model to examine the intent to adopt online banking service. Using an amalgamated model adapted from two models in the fields of technology research and technology acceptance, this research analysed the relationships between the intention to adopt online banking services and the attitude toward online banking use, subjective norm toward online banking use, selected user perceptions (perceived usefulness, perceived ease of use, perceived risk, perceived behavioural control) and selected user characteristics (age and income).A questionnaire was employed to collect the data for this research and path analysis was used to analyse the relationships between the proposed model variables. Out of the 13 original model hypotheses, 9 were confirmed.However, the overall model was found to be weak in explaining the relationships regardless of their significance. Furthermore, current non-users were segmented and a binary logistic regression was used to predict the possibility of future adoption among this segment. It was concluded that about 88% of current non-users are predicted to be future online banking users in Bahrain.In general, the behavioural intention to adopt online banking service in Bahrain was found to be driven primarily by attitudes toward online banking services, and customers' perceived behavioural control. The practical and theoretical implications of these findings are discussed. In summary, this research helps to identify perceptions and factors that explain the intention to adopt online banking service. These factors may be important to the banks and policy makers who wish to encourage the widespread adoption of online banking services in Bahrain