Abstract:
Purpose: This research is conducted with the aim to determine different factors affecting the
adoption of internet banking in Karachi by using TAM model. This study focuses on impact of
perceived ease of use, perceived usefulness, security, privacy, risk, awareness, computer self-
efficacy on intention of customers for acceptance and usage of internet banking. This study helps
to determine individual impact of each independent variable on dependent variable for adoption
of internet banking and identify most critical factors responsible for changes in internet banking
users in Karachi.
Research Methodology: In this work deductive research approach has been followed and study
is primary in nature. This study is causal in nature that is performed to identify the impact of
selected independent variables on dependent variables. Targeted population of current study
includes all bank customers residing in Karachi. Sample size of 384 has been selected and survey
technique has been employed to assist in data collection process by using questionnaire as data
collection instrument. For data analysis linear regression technique is employed through SPSS.
Findings of the Research: The results of current study provide overall support for the extended
TAM model and reveal that all selected variables have positive significant impact on acceptance
of internet banking services among consumer at 5 percent level of significance while risk of
internet banking showed negative impact on adaptation of internet banking services among
consumers at 5 percent level of significance.
Practical implications: The study makes an analytical effort in order to point out areas that
banking institutions should emphasize in order to successfully implement internet banking
services to enhance its adoption and, therefore, harvest its potential benefits.
