Do socio-economic factors impede the engagement in online banking transactions? Evidence from Ghana
Researchers have long pondered on the online banking transaction adoption. Some of these studies focus primarily on the motivating factors that affect customers’ intention to adopt/accept these services (technologies). However, research into the constraining factors, in particular socio-economic fac...
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| Format: | Article |
| Language: | English |
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LLC "CPC "Business Perspectives"
2020-10-01
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| Series: | Banks and Bank Systems |
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| Online Access: | https://businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/14166/BBS_2020_04_Jibril.pdf |
| _version_ | 1829494675582484480 |
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| author | Abdul Bashiru Jibril Michael Adu Kwarteng Miloslava Chovancová Jurgen Bode |
| author_facet | Abdul Bashiru Jibril Michael Adu Kwarteng Miloslava Chovancová Jurgen Bode |
| author_sort | Abdul Bashiru Jibril |
| collection | DOAJ |
| description | Researchers have long pondered on the online banking transaction adoption. Some of these studies focus primarily on the motivating factors that affect customers’ intention to adopt/accept these services (technologies). However, research into the constraining factors, in particular socio-economic factors, barely exist in the literature, especially in the context of sub-Saharan Africa. Against this background, the paper seeks to fill in this gap by: (1) assessing the socio-economic factors impeding the engagement of e-banking transactions among retail bank customers in Ghana, and (2) examining the moderating effect of ‘customer experience of Internet’ on the identified factors that inhibit the engagement in online banking in Ghana. The paper used a quantitative research approach to obtain data from two leading Ghanaian banks. Out of the 450 questionnaires distributed, 393 were valid for analysis. Data were analyzed with the aid of PLS-SEM (partial least squares and structural equation modeling). Findings revealed that perceived knowledge gap and the price of digital devices were directly important to the intention to disembark on e-banking transactions among Ghanaian bank customers. Whilst customer experience (frequent use of the Internet), as a moderator variable, has a significant effect on the interaction between perceived knowledge gap and the intent to disembark on e-banking transactions; and finance charges and the intent to disembark on e-banking transactions. Study implications and directions for future research are discussed in the paper.
AcknowledgmentThis work was supported by the Internal Grant Agency of Tomas Bata University under the Projects no. IGA/FaME/2019/008 and IGA/FaME/2020/002. The authors would like to extend their appreciation to Prof. Boris Popesko (Vice-dean for Research and Business Liaison) at the Faculty of Management and Economics for facilitating the financial readiness of this project. |
| first_indexed | 2024-12-16T06:57:11Z |
| format | Article |
| id | doaj.art-48c609f56f8c49dda82b987539d91a6e |
| institution | Directory Open Access Journal |
| issn | 1816-7403 1991-7074 |
| language | English |
| last_indexed | 2024-12-16T06:57:11Z |
| publishDate | 2020-10-01 |
| publisher | LLC "CPC "Business Perspectives" |
| record_format | Article |
| series | Banks and Bank Systems |
| spelling | doaj.art-48c609f56f8c49dda82b987539d91a6e2022-12-21T22:40:16ZengLLC "CPC "Business Perspectives"Banks and Bank Systems1816-74031991-70742020-10-0115411410.21511/bbs.15(4).2020.0114166Do socio-economic factors impede the engagement in online banking transactions? Evidence from GhanaAbdul Bashiru Jibril0https://orcid.org/0000-0003-4554-0150Michael Adu Kwarteng1https://orcid.org/0000-0002-6787-0401Miloslava Chovancová2https://orcid.org/0000-0002-9244-9563Jurgen Bode3Ph.D., Candidate (Doctoral Researcher), Faculty of Management and Economics, Tomas Bata University in Zlin, ZlinSenior Lecturer, Faculty of Management and Economics, Tomas Bata University in ZlinAssociate Professor, Faculty of Management and Economics, Tomas Bata University in ZlinProfessor, Department of Management Sciences, Hochschule Bonn-Rhein-Sieg University of Applied SciencesResearchers have long pondered on the online banking transaction adoption. Some of these studies focus primarily on the motivating factors that affect customers’ intention to adopt/accept these services (technologies). However, research into the constraining factors, in particular socio-economic factors, barely exist in the literature, especially in the context of sub-Saharan Africa. Against this background, the paper seeks to fill in this gap by: (1) assessing the socio-economic factors impeding the engagement of e-banking transactions among retail bank customers in Ghana, and (2) examining the moderating effect of ‘customer experience of Internet’ on the identified factors that inhibit the engagement in online banking in Ghana. The paper used a quantitative research approach to obtain data from two leading Ghanaian banks. Out of the 450 questionnaires distributed, 393 were valid for analysis. Data were analyzed with the aid of PLS-SEM (partial least squares and structural equation modeling). Findings revealed that perceived knowledge gap and the price of digital devices were directly important to the intention to disembark on e-banking transactions among Ghanaian bank customers. Whilst customer experience (frequent use of the Internet), as a moderator variable, has a significant effect on the interaction between perceived knowledge gap and the intent to disembark on e-banking transactions; and finance charges and the intent to disembark on e-banking transactions. Study implications and directions for future research are discussed in the paper. AcknowledgmentThis work was supported by the Internal Grant Agency of Tomas Bata University under the Projects no. IGA/FaME/2019/008 and IGA/FaME/2020/002. The authors would like to extend their appreciation to Prof. Boris Popesko (Vice-dean for Research and Business Liaison) at the Faculty of Management and Economics for facilitating the financial readiness of this project.https://businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/14166/BBS_2020_04_Jibril.pdfbank customersconstraintsfinancial technologyGhanaian banksinternet bankingmoderator variable |
| spellingShingle | Abdul Bashiru Jibril Michael Adu Kwarteng Miloslava Chovancová Jurgen Bode Do socio-economic factors impede the engagement in online banking transactions? Evidence from Ghana Banks and Bank Systems bank customers constraints financial technology Ghanaian banks internet banking moderator variable |
| title | Do socio-economic factors impede the engagement in online banking transactions? Evidence from Ghana |
| title_full | Do socio-economic factors impede the engagement in online banking transactions? Evidence from Ghana |
| title_fullStr | Do socio-economic factors impede the engagement in online banking transactions? Evidence from Ghana |
| title_full_unstemmed | Do socio-economic factors impede the engagement in online banking transactions? Evidence from Ghana |
| title_short | Do socio-economic factors impede the engagement in online banking transactions? Evidence from Ghana |
| title_sort | do socio economic factors impede the engagement in online banking transactions evidence from ghana |
| topic | bank customers constraints financial technology Ghanaian banks internet banking moderator variable |
| url | https://businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/14166/BBS_2020_04_Jibril.pdf |
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