Internet banking using intention in vietnam

1 TABLE OF CONTENTS ABSTRACT ACKNOWLEDGEMENTS Chapter Thesis introduction 1.1 Chapter introduction 1.2 Background 1.3 Motivation and research questions 10 1.4 Data and methodology 11 1.5 Contribution and implication 12 1.6 Chapter Conclusion 12 Chapter Literature review 13 2.1 Chapter introduction 13 2.2 Internet banking and overview of Vietnam case 13 2.2.1 Internet banking 13 2.2.2 Overview of Vietnam internet banking 16 2.3 Literature gap 19 2.4 Hypothesis development 26 2.4.1 Variable Y: Internet banking using intention 26 2.4 The variables X 27 2.4.3 Demographic factors 35 2.5 Chapter conclusion 38 Chapter Data and Methodology 39 3.1 Chapter introduction 39 3.2 Variables and sample procedure 39 3.3 Model testing 45 3.4 Chapter conclusion 46 Chapter Result analysis 48 4.1 Chapter introduction 48 4.2 Demographic result 48 4.3 Variable result 50 4.4 Reliability analysis result 53 4.5 Exploratory Factor Analysis (EFA) 55 4.6 Linear regression result 56 4.7 Discussion on the hypotheses and 58 4.8 Discussion on hypothesis 62 4.9 Discussion on the research questions 64 4.10 Chapter conclusion 65 Chapter Thesis conclusion 67 5.1 Chapter introduction 67 5.2 Review of research questions, hypotheses and result 67 5.3 Contribution 68 5.4 Implication 69 5.5 Limitation 70 5.6 Future work 70 REFERENCE 72 APPENDIX 75 A1 Detail table of mean and standard deviation of items 75 A2 Data result from SPSS solution for Variable Y 78 A3 Factor analysis 78 A3.1 KMO and Barlett’s test 78 A3.2 Total variance explained 78 A4 Linear regression analysis 80 A5 Demographic analysis 83 A5.1 One way – ANOVA analysis 83 A5.2 Independent samples T-Test 85 A6 Questionaire 87 LIST OF TABLES Table 2-1: The e-banking service of some banks in Vietnam 17 Table 2-2: Research model 37 Table 3-1: The summary of items of variables 40 Table 3-2 : Content of demographic factors 45 Table 3-3: Sample procedure 47 Table 3-4: The summary of data and methodology 47 Table 4-1: Demographic profile 49 Table 4-2: The summary compared mean and standard deviation of items 50 Table 4-3: The summary of reliability test 54 Table 4-4: KMO and Bartlett's Test 55 Table 4-5: Total Variance Explained 55 Table 4-6: Rotated Component result 56 Table 4-7: Model Summary 57 Table 4-8: Model ANOVA 57 Table 4-9: The linear relationship result 58 Table 4-10: Demographic impact result 62 Table 4-11: Result on the independent t-test on selected ariables 63 Table 4-12: Research question and hypothesis related 65 ABBREVIATION Demo EFA H RQ Std Dev TAM TPB SYMBOL α Cronbach alpha ≠ Differences ABSTRACT The purpose of this research is to explore extendedly the impact of technology acceptance; and the external environment factors on internet banking using intention in Vietnam Then, the result from this study shows out that all variables have the impact on internet banking using intention in Vietnam The convenience; availability and accessibility and security variables as the technology acceptance have the significant positive impact on internet banking using intention Whereas, the external environment factors all have the considerable impact on internet banking using intention Privacy is the only one which has the negative impact on internet banking using intention with the study Beside the main variables from technology acceptance and external environment categories, the research introduces the significant demographic factors to test their impact on internet banking using intention The result gives out that the age, education level and income level factors have the impact on internet banking using intention Because the key paper does not work on the regression relationship analysis, the study here actually helps extend it by the regression relationship result Moreover, the combination of variables from the different existing studies helps the reader have the interesting view on this topic Furthermore, the research contributes to the academic in term of the impact of many variables on internet banking using intention in Vietnam It certainly indicates the implication for the academic researchers, internet banking users, bank and policymakers However, there are some limitations with the thesis including the method, respondent and sample … ACKNOWLEDGEMENTS I would like to thank my supervisor - Doctor Quoc Pham Phu due to his enthusiasm tutorial, careful guidance, remarkable patience, useful feedback and spiritual encouragement Without his concern, I can’t finish my thesis here Moreover, I would like to thank the comments from the board on my work which helps me revise my paper in the good way Finally, I would like to thanks other individuals and the respondents who contribute to my thesis done April 21, 2014 Hiep Phan Duy Thesis introduction Chapter 1.1 Chapter introduction This study here mentions about the individual users’ intention to use internet banking in Vietnam In term of adoption, it further investigates the impact of variables extracted from technology acceptance and the external environment theory on Vietnam internet banking adoption Specifically, the thesis examines the variables of convenience, availability and accessibility, content and design, speed, security, privacy, bank image and management, fees and charges which are identified in a research about Malaysia internet banking adoption Moreover, it is an attempt to extend more variables by adding two more variables including added service and government support from the other existing research to help introduces the big picture about the impact of the variables on internet banking using intention in Vietnam adoption The content of this chapter includes main parts Part 1.2 is about the background on the variables which are argued to have the impact on internet banking using intention in Vietnam adoption Part 1.3 declares the motivation and the research questions of this thesis Part 1.4 introduces the research objectives and the hypothesis Part 1.5 describes in brief the data, methodology and the result analysis Part 1.6 discusses about the contribution and implication which are expected from this working paper Finally, Part 1.7 summaries the structure of thesis 1.2 Background The variables mentioned in the thesis are the current argument about the impact of the technology acceptance model and external environment factors on the internet banking users’ adoption Actually, the technology acceptance model (TAM), the technology planned behavior (TPB), the external factors or the structural model… are conducted popularly in the previous studies for a purpose of finding out the internet banking preference in many markets including Vietnam market For instance, it comes out here with studies which mentioned about internet banking using intention in Vietnam Chong, Ooi, Lin and Tan (2010) work on the perceived usefulness, the perceived of use, the trust and the government support as the key impacts on internet banking using intention in Vietnam adoption Moreover, Pham, Cao, Nguyen and Tran(2013) investigate about the impact of perceived risk, the perceived ease of use, the perceived benefit, the trust, the perceived risk, the bank image, the subjective norms on the intention to use Vietnam banking adoption Both studies here build up the basic variables which come from the technology acceptance model and the technology planed behavior These ideas are certainly the background for the development of specific variables like the convenience, the availability and accessibility, the content and design, the speed, security, privacy… in the recent studies Actually, these variables appear with the Malaysia studies about internet banking using intention Poon (2008) identifies10 variables including the convenience, the availability, the accessibility, the content, the design, the speed, the security, the privacy, the bank image and management and fees and charges Moreover, Sohail and Shanmugham (2003) explore the variables like accessibility, reluctance, costs, trust, security, convenience and ease of use 10 1.3 Motivation and research questions As mentioned in the part 1.2, the Malaysia authors use the more detail measures to explore the variables with users’ adoption momentum of internet banking in Malaysia This one motivates my attempt to follow this way to find out something for internet banking using intention in Vietnam These more detail variables to the internet banking acceptance bring me out with the question as follow: Research question (RQ1): Do the variables including convenience; availability and accessibility; content and design; speed; security; privacy; bank image and management; fees and charges affect the internet banking using intention in Vietnam? Beside the variables from the Key study, there is an attempt to add some more variables to bring out the bigger picture about the internet banking users’ preference The added ones come from the other existing papers about internet banking using intention in both Vietnam and foreign market as an extension with this research Research question (RQ2): Do the added variables including government support and added service affect the internet banking using intention in Vietnam? Finally, Demographic factors are mentioned in this thesis; however, they are the selected ones which are supposed to be the suitable factors with internet banking using intention in Vietnam situation Research (RQ3): Do the demographic factors including gender; age; education level; income level and internet accessibility have the impacts on the internet banking using intention in Vietnam? 4.063 3.287 2.780 2.565 2.283 1.899 1.668 1.531 10 1.427 11 1.063 12 774 A3.3 Rotated component matrix: Table 9: Rotated Component Matrixa XB2 XB3 XB1 XB4 XB5 XI4 XI2 XI3 XI5 XI1 XE2 XE3 XE1 XD2 XD3 XD1 XH2 XH1 XH3 80 XC1 XC2 XC3 XA1 XA2 XA3 Y1 Y2 Y3 XG2 XG1 XG3 XJ2 XJ1 XJ3 XF1 XF2 XF3 Extraction Rotation Method: Varimax with Kaiser Normalization a Rotation converged in iterations Method: Principal Component Analys A4 Linear regression analysis: Model R Model 654a 81 a Predictors: (Constant), XI, XJ, XH, XD, XG, XF, XC, XA, XB, XE b Dependent Variable: Y ANOVA a Model Regressio n Residual Total a Dependent Variable: Y b Predictors: (Constant), XI, XJ, XH, XD, XG, XF, XC, XA, XB, XE Coefficients Model (Constant) XG XJ XB XE XC XA a XD XF XH XI a Dependent Variable: Y 83 A5 Demographic analysis: A5.1 One way – ANOVA analysis: Y/ Gender Between Groups Within Groups Total Y/ Income level Between Groups Within Groups Total Y/ Education level Between Groups Within Groups Total Y/ Age Between Groups Within Groups Total Y/ Internet access Between Groups Within Groups Total 85 A5.2 Independent samples T-Test: Independent Samples Test XA/ Income level Equal variances assumed Equal variances not assumed XA/ Income level Equal variances assumed Equal variances not assumed XA/ Education level Equal variances assumed Equal variances not assumed XA/ education level Equal variances assumed Equal variances not assumed XA/Age Equal variances assumed Equal variances not assumed XA/Age Equal variances assumed 87 Equal variances not assumed 000 -1.044 255 -1.549 A6 Questionaire: Ngân hàng trực tuyến (NHTT) e-banking Thang tỉ lệ(Scale): Rất không đồng ý(Strongly disagree) Không đồng ý(Disagree) Không có ý kiến(No idea) Đồng ý(Agree) Rất đồng ý (Disagree) Phần 1: Xin đánh dấu (X) vào chỗ thích hợp (Mark X on the suitable space): Các biến nghiên cứu(Item content) A Bạn có sẵn lòng sử dụng dịch vụ NHTT: The intention to use e-banking - Tôi sữ dụng dịch vụ NHTT I once dealt with the e-banking service - Tôi thỏa mãn việc sử dụng NHTT mang lại lợi ích cho I am satisfied with using e-banking if I get benefits from it - Tôi tin sử dụng NHTT tương lai I believe that I will use e-banking service in the future B Các yếu tố sau ản hưởng đến định sử dụng NHTT: Variables X Sự thuận tiện Convenience - Tơi sử dụng NHTT đâu chỗ I can access anytime and anywhere - Sử dụng NHTT tiết kiệm thời gian so với dịch vụ truyền thống Save times as compared to conventional banking - Tơi kiểm tra giao dịch thường xun với NHTT I can check my transaction details and statement regularly Sự sẵn có tính tiếp cận Availability and accessibility 88 - Dịch vụ NHTT không bị gián đoạn No service break-down - Trang dịch vụ NHTT có cơng cụ tìm kiếm Site has a search engine - Trang dịch vụ NHTT có đa dạng có tính Diversity of feature availability - Dịch vụ NHTT cung cấp chi tiết giao dịch Site has detail on transaction - Trang dịch vụ NHTT có giải đáp phản hồi chi tiết Site has detail on feedback Nội dung thiết kế Content and design - Màn hình giao diện trang dịch vụ rõ ràng đơn giản Clear and easy guidance screen - Nội dung trang dịch vụ cập nhật thường xuyên Content is updated regularly - Thiết kế trang dịch vụ cần thiết Website design is important Tốc độ Speed - Giao dịch NHTT thực hiệu khơng có thời gian chờ Transaction is efficient and no waiting time - Tốc độ trả lời yêu cầu phàn nàn thỏa mãn Respond speed to complaint is satisfactory - Tốc độ xử lý giao dịch nhanh dịch vụ truyền thống Speed of e-transactions flow is faster than traditional banking Sự an tồn Security - Phải có tên tài khoản mật đăng nhập The authorized username and password - Dịch vụđảm bảo uy tín việc xử lý giao dịch lỗi Bank’s reliability in correcting erroneous transactions - Có sách bồi thường thiệt hại lỗi dịch vụ Trust the bank will compensate for losses due to security Tính riêng tư Privacy - Thơng tin khách hàng truyền tải cách bảo mật Confidential information is delivered safely - Thơng tin tài khách hàng chia cần Clients’ financial information is shared - Bên thứ ba tiếp cận tài khoản khách hàng Third parties are able to access Dịch vụ gia tăng Added service 89 Các biến nghiên cứu(Item content) - Trang dịch vụ cho phép tốn dịch vụ cơng Site permission to pay the public service - Cho phép thực giao dịch tài chính: chứng khốn … Site has permission to conduct the other financial products: securities… - Trang dịch vụ cung cấp lịch trình phương tiện cơng cộng Site has timetable of public transportation Sự hỗ trợ phủ Government support - Chính phủ định hướng khuyến khích NHTT The government is driving the development of e-banking - Chính phủ đầu tư hạn tầng internet mạng viễn thông The government invests in the infrastructure and facilities - Chính phủ có luật lệ, qui định cho việc sử dụng NHTT The government has regulars and rules on e-banking Quản trị hình ảnh ngân hàng Management and image - Chi phí đầu tư cho dịch vụ NHTT Cost of investment - Thực quảng cáo dịch vụ NHTT đầy đủ Sufficient advertising - Thực khuyến dịch vụ NHTT hiệu Sufficient promotion - Ngân hàng xây dựng danh tiến tốt Good reputation - Ngân hàng cải tiến phát triển dịch vụ NHTT Continuous improvement on customer services Phí lệ phí Charges and Fees - Chi phí cho máy vi tính kết nối internet hợp lý Prices of computer and internet connection are reasonable - Chi phí cho dịch vụ NHTT thấp dịch vụ truyền thống E-banking charge is lower than than transaction fees - Phí dịch vụ chấp nhận Price of service fees is acceptable Phần 2: Các thông tin cá nhân bạn (Your private information); Giới tính bạn(Gender): Nhóm tuổi bạn(Age): < 25 90 25 -45 > 45 Trình độ học vấn(Educational level): 12/12 (Diploma) Đại học (Graduate) Trên đại học (Post graduate) Thu nhập tại(Income level): < 15 triệu đồng ( mil VND) 15 – 35 triệu đồng (mil VND) > 35 triệu đồng (mil VND) Loại kết nối internet (Internet accessibility): Wifi 3G ... on internet banking using intention in Vietnam H 1d: Speed has the positive impact on internet banking using intention in Vietnam H 1e: Security has the positive impact on internet banking using. .. intention in Vietnam 37 H 1f: Privacy has the positive impact on internet banking using intention in Vietnam H 1g: Added service has the positive impact on internet banking using intention in. .. determinant Therefore, Speed here in the study has a positive impact on internet banking using intention in Vietnam H 1d: Speed has the positive impact on internet banking using intention in Vietnam