Investigating factors affecting the adoption of internet banking in Iran

Master's Thesis of Management, Business Administration, Financial Management

Abstract

The present research has evaluated the acceptance of internet banking by customers using the Davis technology acceptance model. The research method used is descriptive and correlational research. The target statistical population is those who have accounts in Parsian Bank branches in Mazandaran province. Sampling method has been available, 164 customers of Parsian Bank branches were selected and a questionnaire was distributed among them to collect information, and Pearson's correlation test and Friedman's ranking test were used to analyze the data. In this research, the relationship between the variables of external factors (intensity of web use, scope for innovation, previous internet shopping experience, satisfaction with traditional bank branches and satisfaction with ATM machines), perception of ease of use, perception of usefulness and trust towards the acceptance of internet banking by customers was measured. In the current research, by examining the relationship between internet banking and the factors influencing its acceptance, it was concluded that among the types of influencing factors, the most important factor is external factors. Then, in order, trust, perceived ease, and finally perceived usefulness have the highest to the least relationship with internet banking. Keywords: Internet banking acceptance, technology acceptance model. Introduction: In order to examine factors which can have a positive effect on customers' use of internet banking, in this research a model will be presented to examine the effect of these factors. The approach of this research is quantitative. Thus, by using the subject literature, a model has been created to check the acceptance of internet banking. Then, by using the survey research method and the questionnaire tool, the data needed for the research was collected and finally, the data and model analysis was done using correlation tests, which is a new approach in operational research. Using these results, it has been determined that the characteristics of customers and their satisfaction with bank branches and ATMs have a positive relationship with the amount of internet banking usage, which will eventually lead to their continued use of internet banking. Internet banking provides banking services to its users, the advantages of which are reduced time, direct access anywhere in the world, lower cost, and the elimination of anxiety caused by carrying cash (Santuridis and Christie,[1] 2014).

With the development of communication and information technology and the increasing growth of e-commerce transactions worldwide and the need for business to have banks to transfer financial resources, internet banking as a separate part of e-commerce has a fundamental role in its implementation. is It is safe to say that electronic commerce will not be realized without internet banking (Venos and Safaiyan, 2013).

Nowadays, wherever electronic banking is mentioned, the topic is the use of ATMs and sales terminals, and most bank customers are not familiar with internet banking facilities. It seems that banks should pay more attention to internet banking as one of the most important branches of electronic banking, instead of competing for the services of ATMs, and take effective steps to cultivate and educate this new method. In big cities like Tehran, where the traffic load is high, the optimal use of time is very important for people, and precisely for this reason, internet banking should be used as a possibility that allows citizens to carry out their banking transactions without leaving their homes and workplaces (Taghi Netaj, 2013).

Among the obvious signs of electronic banking, the elimination of the presence of one customer in bank branches, reducing traffic, saving fuel, Reducing the costs of printing documents and banknotes and destroying them, reducing the costs of human resources of banks, reducing the costs of building, maintaining and renting bank buildings, reducing the time of capital sleeping in banks, increasing security, reducing crime and so on. is For example, according to the report of the Central Bank, 120 billion Rials in the cost of collecting and destroying banknotes are imposed on the national economy every year, which is caused by the physical removal of money in banking.For example, according to the report of the central bank, 120 billion rials in the cost of collecting and destroying banknotes are imposed on the national economy every year, and this cost will reach its lowest level with the physical removal of money in electronic banking (Baghranjad, 2018). One of the most popular self-service banking technologies is internet banking (Kaliser Wegamsoy [2], 2008).

In this research, the researcher seeks to find a significant relationship between the acceptance of internet banking and the factors affecting it.

1-3- Importance and necessity of the research topic

Information and communication technology has caused fundamental changes in the business world. Today, by using various means of information transfer, it is possible to communicate more and better with customers and, as a result, to be aware of their wishes and needs. This is more important for service industries. Because these industries need to increase the loyalty of customers towards themselves in order to maintain and increase their profits and prevent them from moving towards competitors. Today, without the use of new information and communication technology tools, there will be very little chance to remain in the competitive world.

The banking industry is one of the most important service industries, and improving the performance of this industry can be an important step in improving the economic situation. On the other hand, today, with the entry of information technology into the banking industry and the entry of banks into the virtual world, it is necessary to examine the performance of these banks in a different way. Banks need to review their performance not only in the offline environment, but also in the virtual environment. Many improvements have been made in the field of internet banking in recent years, but this system is still in its infancy in the country and has not been fully accepted by customers. This issue shows that despite the many researches done in this field, there is still a need for researches that investigate the problem of non-acceptance of new technologies in a deeper way.

A look at the bank statistics shows that despite the large number of cards issued by the country's banking network, the number of internet service customers is very small, and despite the cost of banks in this sector, due to the small number of customers, there will be no problem if the banks do not provide this service.

Despite the time that has passed since providing banking services in new ways, many users still resist changing traditional ways and turning to new ways. This issue shows that there is still a need for more research to investigate the factors affecting users' use of new channels for providing banking services. Therefore, it is appropriate in the current competitive market, which is associated with the establishment of foreign banks in the country and the privatization of a large number of state-owned banks, that banks should think of solutions as quickly as possible to retain their customers. Today's banking requires innovative methods, effective customer orientation, the provision of efficient technologies, and customer service. Any bank that acts more successfully in these matters will also succeed in attracting more resources in a competitive market and as a result of durability, permanent survival and higher productivity, while electronic banking is the best and most effective option for banks to achieve these goals. Does it?

2-Does the perceived ease have a positive and significant relationship with the acceptance of using Internet banking?

3-Does the perceived usefulness have a positive and significant relationship with the acceptance of using Internet banking?

4- Does trust have a positive and significant relationship with the acceptance of using Internet banking?

1-5-Research objectives

1. Explaining the relationship between external factors and accepting the use of internet banking.

2. Explaining the relationship between perceived ease and acceptance of using internet banking.

3. Explaining the relationship between perceived usefulness and acceptance of using internet banking.

4. Explaining the relationship between trust and acceptance of using internet banking.

1-6-Research hypotheses

Based on the research conceptual model, the following hypotheses are investigated for this research:

1. External factors have a positive and significant relationship with the acceptance of using internet banking.

2.