FACTORS AFFECTING ADOPTION MOBILE BANKING OF INDIVIDUAL CUSTOMER AT SAI GON THUONG TIN COMMERCIAL JOINT STOCK BANK QUANG TRI BRANCHFACTORS AFFECTING ADOPTION MOBILE BANKING OF INDIVIDUAL CUSTOMER AT SAI GON THUONG TIN COMMERCIAL JOINT STOCK BANK QUANG TRI BRANCH
DUY TAN UNIVERSITY INTERNATIONAL SHOOL UNDERGRADUATE THESIS FACTORS AFFECTING ADOPTION MOBILE BANKING OF INDIVIDUAL CUSTOMER AT SAI GON THUONG TIN COMMERCIAL JOINT STOCK BANK - QUANG TRI BRANCH MAJOR: BUSINESS ADMINISTRATION MENTOR: MBA DOAN THI THUY HAI STUDENT: LE THI THANH NHAN CLASS: K23PSU QTH1 ID NUMBER: 23207111522 DaNang, 2021 DUY TAN UNIVERSITY INTERNATIONAL SHOOL LE THI THANH NHAN FACTORS AFFECTING ADOPTION MOBILE BANKING OF INDIVIDUAL CUSTOMER AT SAI GON THUONG TIN COMMERCIAL JOINT STOCK BANK - QUANG TRI BRANCH BUSINESS ADMINISTRATION THESIS DaNang, 2021 i ABSTRACT Fast advances in the non-cash payment methods and the intensive penetration of cell phones have motivated banks to spend large budget on building Mobile banking service, but the adoption rate of Mobile banking is still underused than expected Therefore, research to enrich current knowledge about what affects individuals to use Mobile banking is required Consequently, this study employs the Technology acceptance model (TAM) - Extended TAM Model to investigate what impacts people to adopt Mobile banking Through sampling 171 respondents in Sacombank - Quang Tri Branch, this study empirically concluded that individual intention to adopt Mobile banking was significantly influenced by Perceived Ease of Use and Perceived Usefulness Perceived Risk and Social Influence have an insignificant in examining the intention to adopt Mobile banking in Sacombank - Quang Tri branch Keywords: Mobile banking, Perceived Usefulness, Perceived Ease of Use, Technology acceptance model ii DISCLAIMER I certify that the attached thesis is my original work No other person’s work has been used without due acknowledgement Except where I have clearly stated that I have used some of the this material, it has not been presented by me for examination in any other course or subject at this or any other institution I understand that the work submitted may be reproduced and/or communicated for the purpose of detecting plagiarism I understand that should this declaration be false I am libel to be penalized under the Duy Tan University regulations Signature: _Date: _ iii ACKOWLEDGEMENT I would like to take the opportunity to acknowledge the support and help of all who have assisted me in the research Without their contribution and advice, I would have never been able to progress with the work in the thesis First, I would like to sincerely thank my thesis supervisor, Mrs Doan Thi Thuy Hai, for her support, advice, valuable comments that benefited in the completion and success of this study She has shared her knowledge and helped in the analysis of data statistical computations Secondly, I would like to thank all staffs who work in Sacombank - Quang Tri Branch They provided a lot of personal insights and experience that held me completed my internship at the bank Finally, I would also like to thank all the participants who took the time to complete the survey questionnaires of my research The data collected made it possible to obtain results and complete my research Sincerely thank! iv TABLE OF CONTENTS ABSTRACT i DISCLAIMER ii ACKOWLEDGEMENT iii TABLE OF CONTENTS iv LIST OF TABLES vii LIST OF FIGURES viii CHAPTER 1: INTRODUCTION .1 1.1 REASONS FOR CHOOSING A RESEARCH TOPIC 1.2 RESEARCH OBJECTIVES 1.3 QUESTIONS RESEARCH .2 1.4 SUBJECT AND SCOPE OF RESEARCH 1.5 RESEARCH METHODS 1.5.1 Qualitative research 1.5.2 Quantitative research 1.6 SIGNIFICANCE OF THE STUDY CHAPTER 2: LITERATURE VIEW 2.1 OVERVIEW OF MOBILE BANKING 2.1.1 Commercial banking definition 2.1.2 Commercial banking services 2.1.3 Definition of Electronic Banking 2.1.4 Definition of Mobile banking 2.2 CONSUMER DECISION STAGES 2.3 THEORETICAL BACKGROUND 2.3.1 Technology Acceptance Model - TAM 2.3.2 Extended TAM Model 2.3.3 Research Model 10 2.3.4 Selected literature on consumer acceptance of Mobile banking 15 2.4 RESEARCH FRAMEWORK AND RESEARCH HYPOTHESES .16 2.4.1 Dependent variable .17 v 2.4.2 Independent variable .17 2.4.3 Scale encryption 18 CHAPTER 3: RESEARCH METHODOLOGY 21 3.1 THE RESEARCH PROCESS .21 3.2 DESIGN OF RESEARCH .22 3.2.1 Sampling method 22 3.2.2 Collecting data 22 3.3 PREPARE DATA PROCESSING 23 3.4 OVERVIEW OF SAI GON THUONG TIN COMMERCIAL JOINT STOCK BANK .26 3.4.1 Sacombank Introduction .26 3.4.2 Sacombank Quang Tri branch Introduction 29 3.5 SACOMBANK MOBILE BANKING 34 3.5.1 Customers .35 3.5.2 Mobile banking services provided by Sacombank .36 3.5.3 Registration process for Mobile banking service 37 3.5.4 Mobile banking service fees 38 3.5.5 Mobile banking users in branch, 2018 to 2020 40 CHAPTER 4: RESEARCH RESULTS 41 4.1 RESULT OF DESCRIPTIVE STATISTIC 41 4.1.1 Gender 43 4.1.2 Age 43 4.1.3 Monthly Income 44 4.1.4 Occupation 45 4.2 ASSESSMENT OF THE MEASUREMENT MODEL .46 4.2.1 Reliability Testing 46 4.2.2 Hypotheses Testing .49 4.2.3 Mode fit .53 4.2.4 Verifying the relationship between demographic and dependent variable 54 vi CHAPTER 5: DISCUSSION AND RECOMMENDATION 57 5.1 DISCUSSION 57 5.2 RECOMMENDATION 60 5.3 THE LIMITATIONS OF THE THESIC 62 REFERENCES APPENDIX A QUESTIONNAIES B DESCRIPTIVE STATISTIC C DATA ANALYSIS AND RESULTS vii LIST OF TABLES Table 2.1 Selected Literature on Consumer Acceptance 15 Table 2.2 Questionnaires sources 19 Table 3.1 Data encryption 23 Table 3.2 Mobile banking features 36 Table 3.3 The fee for Personal Mobile banking Service 38 Table 3.4 The number of users in Quang Tri branch from 2018 to 2020 40 Table 4.1 Demographics characteristics 41 Table 4.2 Result of Outer Loading 46 Table 4.3 Cronbach's Alpha (CA), Composite reliability (CR) and Average Variance Extracted (AVE) 47 Table 4.4 Fornell-Larcker criterion 50 Table 4.5 Collinearity Statistics (VIF) 50 Table 4.6 Hypothesis Testing Results .52 Table 4.7 Results of Mode fit 53 Table 4.8 Bootstrapping 5000 samples .54 Table 4.9 The impacts of gender on Behavioral Intention 54 Table 4.10 The impacts of age on Behavioral Intention 55 Table 4.11 The impacts of income on Behavioral Intention .55 Table 4.12 The impacts of occupation on Behavioral Intention .56 Table 5.1 Outer weights 60 viii LIST OF FIGURES Figure 2.1 Consumer Decision stages adopted by S Vázquez et al Figure 2.2 Research model of Le Chau Phu, Dao Duy Huan (2019) .10 Figure 2.3 Research model of Shi Yu (2009) 11 Figure 2.4 Research model of Bong-Keun Jeong & Tom E Yoon (2012) 12 Figure 2.5 Research model of Lule, Omwansa and Waema (2012) 13 Figure 2.6 Research model of Cheah, Sim, Oon and Tan (2011) .14 Figure 2.7 Research Framework .16 Figure 3.1 The research process 21 Figure 3.2 Organizational structure of Quang Tri branch 31 Figure 4.1 Distribution of respondents by Gender 43 Figure 4.2 Distribution of respondents by Age 43 Figure 4.3 Distribution of respondents by Income 44 Figure 4.4 Distribution of respondents by Occupation .45 Figure 4.5 Cronbach's Alpha .48 Figure 4.6 Cronbach Reliability 48 Figure 4.7 Average Variance Extracted (AVE) 49 Figure 5.1 Outer Loadings, Path coefficients and Cronbach's Alpha adjusted 58 Figure 5.2 Factors affecting adoption Mobile banking .59