FACTOR INFLUENCING THE ADOPTION OF INTERNET BANKING IN PAKISTAN

Abstract

Purpose: The objective of study is to find the factors in adoption of internet banking that influence the behavior of customer for adoption of internet banking. Internet banking is the new channel; it makes possible to access of banking services anytime and anywhere in the world. Because of this people in the whole world are adopting internet banking widely. Pakistan the trend of internet banking adoptions lower than other countries in the world, there is need to understand and to evaluate those factors which impact the individual behavior to adopt internet banking in Pakistan. From the technology acceptance model, theory of reasoned action, theory of planned behavior variable is taken along with the security & privacy and Time & cost associated with adoption rate of internet banking, this paper combines various predetermined constructs in one model. The study focusses on security & privacy, attitude, time & cost, perceived ease of use and perceived usefulness. The purpose of the study is to find these factors affect the adoption of internet banking. Research Methodology: The study uses the deductive approach and primary data; Target population of the study is the internet banking users. The questionnaire is used to collect data, the Cronbach’s Alpha is used to evaluate the reliability of data with the help of SPSS and 390 respondents are used as the source. Finding: The Researcher find the positive impact of security & privacy, Attitude, Perceived ease of use and perceived useful ness toward the adoption of internet banking, however the Cost and time has been detecting as negatively influence the adoption of internet banking. Security & privacy has been considered as main variable in the research. Cost and time is also providing the trend of shifting the customer towards the adoption of internet banking. Practical Implication: The findings offered useful information for the bank management in order to formulate marketing strategics for Internet Banking.