Behavioral determinants of online banking adoption: Some evidence from a multicultural society

Vol. 2 No. 3

Year : 2008

Issue : Dec-Feb

Title : Behavioral determinants of online banking adoption: Some evidence from a multicultural society 

Author Name : Ramayah T, Oh Sook May, Azizah Omar 

Synopsis : 

This study examines the intention to use online banking among bank customers in the state of Penang, Malaysia. A research framework based on the Theory of Planned Behavior (TPB) was used to explain the intention to do online banking. A structured questionnaire was used to elicit responses from 239 bank\ customers using a purposive sampling technique. The results reveal a good fit model with an R2 value of 0.454 which indicates that 45.4% of the variation of intention to use online banking can be explained by the three independent variables. Also it was found that attitude towards behavior; subjective norm and perceived behavioral control were all positively related to intention to use Internet banking. It was also observed that attitude was the most  important predictor of intention to use followed by subjective norms. This is not surprising as the positive attitude of a person towards the behavior will result in him/her actually carrying out the behavior. In an eastern culture like Malaysia, subjective norm, the opinion of those who are close or important also plays a big role in supporting behavior. Facilitating conditions also play a role although it is not the most important one; it facilitates the process of adoption of any particular behavior. Implications are provided to facilitate the increase in the uptake of this service.