Factors Affecting Customers Adoption of Mobile Banking \\ The Case of Commercial Bank of Ethiopia\\
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Date
2016-06
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Addis Ababa University
Abstract
Advances in telecommunication technologies have enables organizations such as banks and other financial institutions to offer more online services to their customers. Mobile banking is one of such services that many banks have been venturing into with large investment. The purpose of this study is to identify factors influencing the adoption and usage of mobile banking as the tool for help banks understand and improve the service in order to gather the expected benefits and can add on to the existing literature concerning mobile banking in the Ethiopian context. From the literature, four determinant factors are identifies. Each variable is measured using 5-point Likert-scale.out of the primary data collection methods; questionnaires were distributed to target respondents of customers of Commercial bank of Ethiopia for mobile banking users. This study is based on the Unified Theory of Acceptance and Use of Technology (UTAUT) model specifies the causal relationships between Performance expectancy, Perceived risk, Trust, Mobile banking service quality and Behavioral intention items. The data were analyzed using SPSS version 20. The findings of this study revealed that Performance expectancy, Trust, were the factors affecting users having intention to adopt mobile banking significantly. Meanwhile, the Mobile banking service quality and perceived risk was found to be insignificant in this study. Furthermore, this study also manages to present demographic variables effects toward independent variables and towards behavioral intention to adopt mobile banking, and found that gender is non-significant factor for mobile banking adoption. Age and educational qualification is found as significant factor for adoption of mobile banking except for perceived risk. The student researcher recommended that CBE needs to use innovative marketing and educational promotions and also needs to implement policies and procedures to improve people’s trust in the banks mobile banking service
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Keywords
Behavioral Intension, Performance Expectancy, Perceived Risk