Factors Determining Consumer Adoption of Internet Banking
10 Pages Posted: 19 Oct 2007
Date Written: 2007
Abstract
The rapid changes in Malaysian banking system have created a new dimension in the banking industry with the emergence of Internet banking. The study also explores the consumer's adoption behaviour driven by the evolution of new, banking technology in Malaysia. The result implies that a social norm effect dominates Internet banking adoption.
This paper presents the profile of the internet banking adopter in Malaysia based on a large scale survey. A logistic model is used to estimate the probability of a bank customer adopting internet banking. The profile of the adopter is constructed using demographic, social economic and technological capacity indicators. The method is a very simple one, which can be used by financial institutions to gain better understanding of their own internet banking customers.
Keywords: Internet banking
JEL Classification: A12
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