This document summarizes a study that compares customers' perceived risk in electronic banking versus traditional banking in branches. The study examines four dimensions of risk perception: physical, performance, financial, and time-consuming. A questionnaire was distributed to 360 customers at a bank in Tabriz, Iran to analyze differences in risk perception between the two banking methods. The results found meaningful differences in physical, financial, and time-consuming risk perceptions, but no difference in psycho-sociological risk perception. The study concludes banks should improve communication, privacy, and e-banking culture to enrich the e-banking process.
This document analyzes a survey of 400 customers in 4 cities in Punjab, India about their perceptions of bancassurance (buying insurance through banks). It finds that after insurance agents, banks are the most preferred way to purchase insurance due to banks' commitment, cost effectiveness, and return on investment. Customers are satisfied with benefits like updated policy information and ease of payments and claims. Most customers said they would purchase future insurance policies through bancassurance if partnerships improve service quality by understanding customer needs.
Transaction costs AND INFORMATION EFFICIENCY IN CREDIT INTERMEDIATIONDinabandhu Bag
This document summarizes a research paper that examines how transaction costs impact lending efficiency between borrowers and lenders. It discusses how transaction costs, such as information costs, screening costs, and monitoring costs, can influence lending decisions and portfolio quality. The document then presents a model to test if incorporating borrower transaction information, like home ownership and profession, in addition to traditional loan characteristics, can help reduce transaction costs and delinquency rates compared to only using traditional variables. An analysis of loan data from an Indian bank finds that a model including both traditional and transaction variables has higher explanatory power for delinquency than a model with just traditional variables.
The purpose of paper is to recommend strategies to
increase customer loyalty through complaint management and as
a tool to manage risk. The paper encompasses the theoretical
concepts which emerge from the extensive review of literature on
complaints and risk. It was found that complaints and risk have a
significant relation and through complaint management, risk can
be reduced. The study has proposed COMPSAT Grid (reinforced
with literature review) demonstrating the state of Banks based on
no. of complaints and loyalty of customers. COMPSAT Grid can
become a base to design the strategies to increase customer’s
loyalty. The study is limited to the customer’s perceived risk. The
paper stresses on the importance of complaints in managing the
risk. Through COMPSAT grid the service providers may
modulate existing strategies to increase customer loyalty. The
concepts will establish complaint management as a basis of
marketing strategy modulation. The model is a theoretical
approach which is based on the concepts
The paper titled, ―A Study On Customer Loyalty & Satisfaction In Electronics Industry‖ focuses on the level of satisfaction and loyalty a customer perceives in an electronics company. The research made use of ANOVA and Independent sample T- test. The results showed that loyalty and satisfaction are not influenced by type of outlet or age or gender of the customer but by the quality of service a customer receives.
Customer loyalty in indian banking sector a comparative studyIAEME Publication
This study examined customer loyalty in the Indian banking sector between public and private sector banks. The researchers conducted a survey of 300 customers from public and private sector banks. Factor analysis identified three factors of customer loyalty: loyalty to company, response to problems, and willingness to pay. The results showed significant differences between public and private sector banks in willingness to pay and loyalty to company, but not response to problems. Customers of private sector banks and those with higher education or in business occupations showed higher willingness to pay and loyalty. The study was limited to a small sample from one Indian state.
This document discusses a study on the impact of perceived value dimensions on customer satisfaction and behavior intention among young adult consumers in the banking industry in Malaysia. The study aimed to analyze the direct and indirect effects of perceived value dimensions, including functional service value and relational values of trust and commitment, on customer satisfaction and behavior intentions. Factor analysis identified these as key dimensions of perceived value. Regression analysis found that functional service value and relational value of commitment predict behavior intention, and satisfaction fully mediates the relationship between relational value of commitment and behavior intention. The study provides insights into how banks can improve customer loyalty through enhancing different dimensions of perceived value.
This document summarizes a study on how advertisements help change consumer perception in the insurance sector. It discusses the objectives of studying the impact of insurance advertising and strategies. The study examines consumer purchasing behavior and the role of ads in creating awareness and impacting sales. It outlines the research methodology involving surveys and data analysis. A literature review covers topics like emotional satisfaction in services, demographic risk factors, and energy efficient technologies that reduce insurance losses.
This study examines the relationship between customer expectation, perceived service quality, and customer satisfaction in the banking sector in Damascus, Syria. The author conducted a survey of 250 customers from 5 banks. The results of the regression analysis found that customer expectation and perceived service quality both have a positive effect on customer satisfaction. Specifically, customer expectation explained 18% of the variance in customer satisfaction, while perceived service quality explained 36% of the variance. The findings indicate that meeting or exceeding customer expectations and improving perceptions of service quality can increase customer satisfaction in the banking industry. Bank managers should understand customer expectations and focus on strengthening service quality to enhance customer satisfaction and retention.
This document analyzes a survey of 400 customers in 4 cities in Punjab, India about their perceptions of bancassurance (buying insurance through banks). It finds that after insurance agents, banks are the most preferred way to purchase insurance due to banks' commitment, cost effectiveness, and return on investment. Customers are satisfied with benefits like updated policy information and ease of payments and claims. Most customers said they would purchase future insurance policies through bancassurance if partnerships improve service quality by understanding customer needs.
Transaction costs AND INFORMATION EFFICIENCY IN CREDIT INTERMEDIATIONDinabandhu Bag
This document summarizes a research paper that examines how transaction costs impact lending efficiency between borrowers and lenders. It discusses how transaction costs, such as information costs, screening costs, and monitoring costs, can influence lending decisions and portfolio quality. The document then presents a model to test if incorporating borrower transaction information, like home ownership and profession, in addition to traditional loan characteristics, can help reduce transaction costs and delinquency rates compared to only using traditional variables. An analysis of loan data from an Indian bank finds that a model including both traditional and transaction variables has higher explanatory power for delinquency than a model with just traditional variables.
The purpose of paper is to recommend strategies to
increase customer loyalty through complaint management and as
a tool to manage risk. The paper encompasses the theoretical
concepts which emerge from the extensive review of literature on
complaints and risk. It was found that complaints and risk have a
significant relation and through complaint management, risk can
be reduced. The study has proposed COMPSAT Grid (reinforced
with literature review) demonstrating the state of Banks based on
no. of complaints and loyalty of customers. COMPSAT Grid can
become a base to design the strategies to increase customer’s
loyalty. The study is limited to the customer’s perceived risk. The
paper stresses on the importance of complaints in managing the
risk. Through COMPSAT grid the service providers may
modulate existing strategies to increase customer loyalty. The
concepts will establish complaint management as a basis of
marketing strategy modulation. The model is a theoretical
approach which is based on the concepts
The paper titled, ―A Study On Customer Loyalty & Satisfaction In Electronics Industry‖ focuses on the level of satisfaction and loyalty a customer perceives in an electronics company. The research made use of ANOVA and Independent sample T- test. The results showed that loyalty and satisfaction are not influenced by type of outlet or age or gender of the customer but by the quality of service a customer receives.
Customer loyalty in indian banking sector a comparative studyIAEME Publication
This study examined customer loyalty in the Indian banking sector between public and private sector banks. The researchers conducted a survey of 300 customers from public and private sector banks. Factor analysis identified three factors of customer loyalty: loyalty to company, response to problems, and willingness to pay. The results showed significant differences between public and private sector banks in willingness to pay and loyalty to company, but not response to problems. Customers of private sector banks and those with higher education or in business occupations showed higher willingness to pay and loyalty. The study was limited to a small sample from one Indian state.
This document discusses a study on the impact of perceived value dimensions on customer satisfaction and behavior intention among young adult consumers in the banking industry in Malaysia. The study aimed to analyze the direct and indirect effects of perceived value dimensions, including functional service value and relational values of trust and commitment, on customer satisfaction and behavior intentions. Factor analysis identified these as key dimensions of perceived value. Regression analysis found that functional service value and relational value of commitment predict behavior intention, and satisfaction fully mediates the relationship between relational value of commitment and behavior intention. The study provides insights into how banks can improve customer loyalty through enhancing different dimensions of perceived value.
This document summarizes a study on how advertisements help change consumer perception in the insurance sector. It discusses the objectives of studying the impact of insurance advertising and strategies. The study examines consumer purchasing behavior and the role of ads in creating awareness and impacting sales. It outlines the research methodology involving surveys and data analysis. A literature review covers topics like emotional satisfaction in services, demographic risk factors, and energy efficient technologies that reduce insurance losses.
This study examines the relationship between customer expectation, perceived service quality, and customer satisfaction in the banking sector in Damascus, Syria. The author conducted a survey of 250 customers from 5 banks. The results of the regression analysis found that customer expectation and perceived service quality both have a positive effect on customer satisfaction. Specifically, customer expectation explained 18% of the variance in customer satisfaction, while perceived service quality explained 36% of the variance. The findings indicate that meeting or exceeding customer expectations and improving perceptions of service quality can increase customer satisfaction in the banking industry. Bank managers should understand customer expectations and focus on strengthening service quality to enhance customer satisfaction and retention.
1) The document discusses a study on the bank selection criteria of retail customers in Khulna City, Bangladesh.
2) The study aimed to evaluate customer preferences for different types of banks and identify the most important factors considered by customers when selecting a bank.
3) The study found that customers place the highest emphasis on convenience factors related to availing required banking services, such as location and operating hours. Other important factors included economic, promotional, and influence factors.
Demographic analysis of factors influencing purchase of life insurance produc...Alexander Decker
This document summarizes a research study that examined factors influencing the purchase of life insurance products in India based on demographic characteristics. The study used a survey of 613 life insurance customers across three regions of Uttarakhand, India. Through statistical analysis, the study identified five key factors: product quality and brand image, service quality, customer friendliness, brand loyalty, and commitment. It found that product quality and brand image was the most important factor while brand loyalty was the least. The study also found these factors varied significantly based on age, gender, income, and education demographics.
This document summarizes a study on customer perception of telecommunication service providers in Himachal Pradesh, India. The study examined the relationship between customer satisfaction, service quality, and perceived value. It reviewed literature on key concepts like perceived value, customer satisfaction determinants, and the customer value chain. The study used a questionnaire to collect data from 50 respondents on their perceptions of various telecom services. It identified six key service quality gaps based on the data, including knowledge gaps, design gaps, and communication gaps. Statistical analysis was presented on customers' attitudes toward different aspects of service like price, plans offered, bill amounts and more. In conclusion, the study found that quality of service, employees' behavior and competitors' actions most influenced
Design and Implementation Decision Support System using MADM Methode for Bank...IJRESJOURNAL
ABSTRACT: The function of banking process can be broadly defined as an institution functioning as a capital receiver and lender, as well as support for trading and payment transactions. In order to maintain the stability of the economy through lending, Bank Indonesia issued a form letter on March 15, 2012 on the application of risk management for the bank conducting credit. In an effort to minimize these problems, Bank Indonesia recommends the precautionary principle in arranging the loan terms and choose the prospective customer in the credit granting institutions, both banks and cooperatives to take into account the risk on lending. A method is needed to select bank for credit applications to the public, i.e. the customer. This research uses the comparison of MADM (Multiple Attribute Decision Making) between TOPSIS (Technique for Order Preference by Similarity to Ideal Solution) method and ELECTRE (ELimination Et Choix TRaduisant la realitE) method for the loan provisions to the customers. With the hope of getting the quickest and the most accurate solutions, the hesitancy in determining customers for lending can then be minimized.
Marketing in hypermedia computer mediated environmentsGyeongmin Ahn
The document discusses marketing implications of commercializing hypermedia computer-mediated environments like the World Wide Web. It proposes a process model of consumer navigation behavior in these environments. The model involves three stages - antecedent conditions for flow, the flow experience of seamless engagement during navigation, and consequences of flow. Key research issues are identified around measuring flow and its impacts on learning, exploration, and subjective experiences. Both experiential and goal-directed consumer behaviors are discussed in relation to the flow experience.
This study examines customer perceptions of internet banking in India. The researchers conducted a survey of 61 respondents to identify major factors influencing perceptions. Through factor analysis, they identified 5 key factors that explained 74.1% of the variance in customer perceptions: 1) utility requests, 2) security, 3) utility transactions, 4) ticket booking, and 5) fund transfers. The study provides insight into how Indian customers view internet banking services and what service attributes most impact their perceptions.
IJRET : International Journal of Research in Engineering and Technology is an international peer reviewed, online journal published by eSAT Publishing House for the enhancement of research in various disciplines of Engineering and Technology. The aim and scope of the journal is to provide an academic medium and an important reference for the advancement and dissemination of research results that support high-level learning, teaching and research in the fields of Engineering and Technology. We bring together Scientists, Academician, Field Engineers, Scholars and Students of related fields of Engineering and Technology.
This document analyzes the dimensions of consumers' perceived risk and how they influence online purchasing behavior. It discusses previous research on perceived risk dimensions. The study aims to identify the key dimensions of perceived risk for the overall B2C e-commerce process, and examine how these dimensions impact online purchasing behavior.
The study develops hypotheses about 8 dimensions of perceived risk and their influence on purchasing behavior. It presents a research model and methodology using a survey to collect data from 388 online consumers in China. Exploratory factor analysis identified 8 dimensions of perceived risk from the survey data that could analyze types of perceived risk for the overall B2C process. These dimensions and their impact on purchasing behavior are empirically tested.
Analyzing the Effect of Risks on Adopting Internet Banking using SEM approachIOSRJBM
Internet banking has emerged as one of the most profitable E-commerce applications over the last decade. Although several prior research projects have focused on the factors that impact on the adoption of information technology or Internet, there is limited empirical work which simultaneously captures the risk factors that help customers to adopt online banking. The aforementioned factors cause complexity, challenge, ambiguity and risk feeling in the customers who use electronic capabilities. The main goal in this paper is to study the major risk factors that influencing the customer’s intention to use of Internet Banking. Therefore, five groups of risk were identified as performance, security, time, social and financial categories. Based on an empirical study in the field of Internet Banking, the authors validated a measurement model used to explain customers’ intention to use of Internet Banking, based on the above risk factors. The results indicated that all the risk factors are significant to the intention to use of Internet Banking. The knowledge of these risks as major factors of customer’s adoption and perception in the internet provides banks as a useful tool for the establishment of an effective quality management for their e-businesses.
Impacts of Perceived Risks on Internet Purchasing Intention: In case of Mongo...IJRTEMJOURNAL
Perceived risks are a vital role in the success of e-commerce websites. In Mongolia, few kinds of
online trading websites are working successfully and continuously developing until Today. Although, Online
purchasing amount of consumers is worst compared to retail shopping market. The research study focused to
investigate influences of perceived risks ( Product Risk, Time Risk, Financial Risk, Delivery Risk, Social Risk ) on
online purchasing intention of Mongolian Young Generate action. The 412 respondents were 18-34 years of age
and data collection procedure the was carried out on the social network. Data analyzing method used SPSS 21
software and Reliability, Correlation, Regression analysis were used to study according to the topic. The research
found that Product risk, Time risk, Financial risk most negative influence on internet purchase intentions
Impacts of Perceived Risks on Internet Purchasing Intention: In case of Mongo...IJRTEMJOURNAL
Perceived risks are a vital role in the success of e-commerce websites. In Mongolia, few kinds of
online trading websites are working successfully and continuously developing until Today. Although, Online
purchasing amount of consumers is worst compared to retail shopping market. The research study focused to
investigate influences of perceived risks ( Product Risk, Time Risk, Financial Risk, Delivery Risk, Social Risk ) on
online purchasing intention of Mongolian Young Generate action. The 412 respondents were 18-34 years of age
and data collection procedure the was carried out on the social network. Data analyzing method used SPSS 21
software and Reliability, Correlation, Regression analysis were used to study according to the topic. The research
found that Product risk, Time risk, Financial risk most negative influence on internet purchase intentions.
Customer Adoption of Internet Banking in MauritiusWaqas Tariq
This document summarizes a study on factors influencing the adoption of internet banking in Mauritius. The study uses logistic regression on survey data from 1240 individuals to analyze what factors predict a person opting for online banking. The regression found that 6 factors were statistically significant: younger age, higher income, lower perceived risk of internet banking, higher perceived usefulness, higher frequency of checking bank accounts, and having internet access at home. The study concludes these are the main determinants for individuals in Mauritius to adopt internet banking.
Risk management in banking a study with reference to state bank of india sbi aIAEME Publication
This document discusses risk management in banking with a focus on credit risk management practices at State Bank of India (SBI) and its associates. It provides an overview of SBI and its subsidiaries, and discusses how SBI has implemented the Basel accords on capital adequacy requirements and approaches credit risk measurement. The document analyzes trends in non-performing assets and capital adequacy ratios at SBI from 2007-2008 to 2012-2013 to assess its risk management practices.
Scoring and predicting risk preferencesGurdal Ertek
This study presents a methodology to determine risk scores of individuals, for a given financial risk preference survey. To this end, we use a regression based iterative algorithm to determine the weights for survey questions in the scoring process. Next, we generate classification models to classify individuals into risk-averse and risk-seeking categories, using a subset of survey questions. We illustrate the methodology through a sample survey with 656 respondents. We find that the demographic (indirect) questions can be almost as successful as risk-related (direct) questions in predicting risk preference classes of respondents. Using a decision-tree based classification model, we discuss how one can
generate actionable business rules based on the findings.
http://research.sabanciuniv.edu.
This document discusses a study that examines the interrelationships between trust, perceived risk, and behavioral intention for technology acceptance and internet banking. The study develops an integrated model to explain how trust and perceived risk influence consumers' behavioral intention to use internet banking services. The research was conducted through a survey of 432 young Chinese consumers and analyzed the relationships between trust, perceived risk, and behavioral intention regarding the adoption of internet banking services in China.
Risks and Trust in Internet Banking: Sample Evidence from Pathanamthitta Dist...IOSR Journals
The marvelous kinds of innovation in technology and hard line blend of it with information technology made a paradigm shift in the banking industry. Technology itself created its world in the globe of human beings. The beginning of E- banking created a phenomenal system- Internet banking. Internet banking is a kind of systems that enable financial institution customers, individuals or businesses, to access accounts, transact business, or obtain information on financial products and services through the Internet. The main objectives of the paper are: 1.to understand the profile of Internet banking users in Pathanamthitta District. 2 .to identify the most widely used application of Internet banking. 3. to understand the influence of gender on various dimensions of risk in the usage of Internet banking. 4. to understand the influence of gender on various dimensions of trust in the usage of Internet banking. It is found that the popular internet banking services are; balance enquiry, followed by recharging mobile phones, banking service information and payment to other account. Most of the users are in the age group of 20-30 either employed or student with a monthly income of below 40,000 with educated with an average or advanced level of computer knowledge. The Chi-square test revealed that there is no statistically significant difference between the opinion of males and females towards risk are found. There is significant difference between males and females towards trust is found.
This document discusses risk management practices in the Indian banking system and supervision by the Reserve Bank of India (RBI). It provides an overview of the types of risks banks face, including credit, market, and operational risks. The document also summarizes several academic studies that have examined relationships between macroeconomic variables, bank performance, and risk. Overall, the document analyzes current risk management practices of banks in India as directed by RBI guidelines and regulations.
This document summarizes a study that examined information security threats to digital banking. Semi-structured interviews and questionnaires were used to collect data from employees and clients of a financial institution. The findings identified four main threats: phishing, profile cloning, viruses/spam, and spyware. Both employees and clients rated phishing as the biggest threat, while spyware was seen as the smallest threat. The study concluded that financial institutions face ongoing challenges to address evolving digital banking security risks.
Electronic Customer Relationship Management and Consumer Behaviour (A Study o...IJRTEMJOURNAL
The study focuses on electronic customer relationship management and consumer behavior with
special emphasis on diamond bank Plc. Retail financial services in all markets, including emerging markets, are
undergoing major transformation that is driven by change, deregulation and customer sophistication. Electronic
Customer service and specifically online customer relationship management in particular is crucial to attaining
a sustainable competitive advantage, in the market place. The main objective of the study is to examine the effect
of electronic customer relationship management on customer patronage. A survey design was adopted for the
study and one hundred and ninety copies of structured questionnaire were used as primary data collection
instrument which was distributed to customers of diamond bank in the study area. However, the postulated
hypotheses were tested by employing the Pearson product moment Correlation Coefficient (PPMCC) statistical
tool which was facilitated by the statistical packages for social sciences (SPSS). The study however showed that
a significant relationship exists between e-CRM and consumer behavior. Furthermore, it was found that amongst
the dimensions of e-CRM, e-commitment and e-satisfaction impacts more significantly on customer patronage.
The study therefore concludes that Nigerian money deposit banks should increase their electronic platform
strategies since they commensurably impact on their level of customer patronage. However, the study
recommended that the key to efficient performance of Nigeria banking industry is hinged on their ability to
identify, attract, retain and develop their customers better than competitors and could be achieved by improved
e-trust, e-commitment and e-satisfaction. Limitation and suggestion for further studies was given.
Adverse Selection and Moral Hazard in Joint-Liability Loan ContractsArturo Rodriguez
This document summarizes a study that used an experimental design to examine the relationship between joint-liability lending, adverse selection, moral hazard, and risk preferences. The experiment involved 200 Bolivian subjects who were given hypothetical investment choices and asked to choose between individual and joint-liability loan contracts. The results indicate that subjects endowed with risky projects were more likely to choose joint-liability contracts, suggesting joint-liability may induce adverse selection. Additionally, under joint-liability contracts subjects were more likely to choose risky investments, indicating joint-liability can induce moral hazard by enabling risk shifting. The findings offer insight into why joint-liability loans have decreased in popularity among microfinance lenders and borrowers in recent years.
This document summarizes a proposed model for a microcredit institution. It discusses performing a break-even analysis to understand the loan size and interest rates needed. It also proposes a mathematical model to analyze the creditworthiness of borrowing groups and measure the associated risks. The document provides background on microcredit and discusses several previous studies on topics like trust in lender-borrower relationships, experimental economics studies of microfinance mechanisms, the effects of microcredit on long-run development, and using insurance products to enhance access to microcredit for farmers.
1) The document discusses a study on the bank selection criteria of retail customers in Khulna City, Bangladesh.
2) The study aimed to evaluate customer preferences for different types of banks and identify the most important factors considered by customers when selecting a bank.
3) The study found that customers place the highest emphasis on convenience factors related to availing required banking services, such as location and operating hours. Other important factors included economic, promotional, and influence factors.
Demographic analysis of factors influencing purchase of life insurance produc...Alexander Decker
This document summarizes a research study that examined factors influencing the purchase of life insurance products in India based on demographic characteristics. The study used a survey of 613 life insurance customers across three regions of Uttarakhand, India. Through statistical analysis, the study identified five key factors: product quality and brand image, service quality, customer friendliness, brand loyalty, and commitment. It found that product quality and brand image was the most important factor while brand loyalty was the least. The study also found these factors varied significantly based on age, gender, income, and education demographics.
This document summarizes a study on customer perception of telecommunication service providers in Himachal Pradesh, India. The study examined the relationship between customer satisfaction, service quality, and perceived value. It reviewed literature on key concepts like perceived value, customer satisfaction determinants, and the customer value chain. The study used a questionnaire to collect data from 50 respondents on their perceptions of various telecom services. It identified six key service quality gaps based on the data, including knowledge gaps, design gaps, and communication gaps. Statistical analysis was presented on customers' attitudes toward different aspects of service like price, plans offered, bill amounts and more. In conclusion, the study found that quality of service, employees' behavior and competitors' actions most influenced
Design and Implementation Decision Support System using MADM Methode for Bank...IJRESJOURNAL
ABSTRACT: The function of banking process can be broadly defined as an institution functioning as a capital receiver and lender, as well as support for trading and payment transactions. In order to maintain the stability of the economy through lending, Bank Indonesia issued a form letter on March 15, 2012 on the application of risk management for the bank conducting credit. In an effort to minimize these problems, Bank Indonesia recommends the precautionary principle in arranging the loan terms and choose the prospective customer in the credit granting institutions, both banks and cooperatives to take into account the risk on lending. A method is needed to select bank for credit applications to the public, i.e. the customer. This research uses the comparison of MADM (Multiple Attribute Decision Making) between TOPSIS (Technique for Order Preference by Similarity to Ideal Solution) method and ELECTRE (ELimination Et Choix TRaduisant la realitE) method for the loan provisions to the customers. With the hope of getting the quickest and the most accurate solutions, the hesitancy in determining customers for lending can then be minimized.
Marketing in hypermedia computer mediated environmentsGyeongmin Ahn
The document discusses marketing implications of commercializing hypermedia computer-mediated environments like the World Wide Web. It proposes a process model of consumer navigation behavior in these environments. The model involves three stages - antecedent conditions for flow, the flow experience of seamless engagement during navigation, and consequences of flow. Key research issues are identified around measuring flow and its impacts on learning, exploration, and subjective experiences. Both experiential and goal-directed consumer behaviors are discussed in relation to the flow experience.
This study examines customer perceptions of internet banking in India. The researchers conducted a survey of 61 respondents to identify major factors influencing perceptions. Through factor analysis, they identified 5 key factors that explained 74.1% of the variance in customer perceptions: 1) utility requests, 2) security, 3) utility transactions, 4) ticket booking, and 5) fund transfers. The study provides insight into how Indian customers view internet banking services and what service attributes most impact their perceptions.
IJRET : International Journal of Research in Engineering and Technology is an international peer reviewed, online journal published by eSAT Publishing House for the enhancement of research in various disciplines of Engineering and Technology. The aim and scope of the journal is to provide an academic medium and an important reference for the advancement and dissemination of research results that support high-level learning, teaching and research in the fields of Engineering and Technology. We bring together Scientists, Academician, Field Engineers, Scholars and Students of related fields of Engineering and Technology.
This document analyzes the dimensions of consumers' perceived risk and how they influence online purchasing behavior. It discusses previous research on perceived risk dimensions. The study aims to identify the key dimensions of perceived risk for the overall B2C e-commerce process, and examine how these dimensions impact online purchasing behavior.
The study develops hypotheses about 8 dimensions of perceived risk and their influence on purchasing behavior. It presents a research model and methodology using a survey to collect data from 388 online consumers in China. Exploratory factor analysis identified 8 dimensions of perceived risk from the survey data that could analyze types of perceived risk for the overall B2C process. These dimensions and their impact on purchasing behavior are empirically tested.
Analyzing the Effect of Risks on Adopting Internet Banking using SEM approachIOSRJBM
Internet banking has emerged as one of the most profitable E-commerce applications over the last decade. Although several prior research projects have focused on the factors that impact on the adoption of information technology or Internet, there is limited empirical work which simultaneously captures the risk factors that help customers to adopt online banking. The aforementioned factors cause complexity, challenge, ambiguity and risk feeling in the customers who use electronic capabilities. The main goal in this paper is to study the major risk factors that influencing the customer’s intention to use of Internet Banking. Therefore, five groups of risk were identified as performance, security, time, social and financial categories. Based on an empirical study in the field of Internet Banking, the authors validated a measurement model used to explain customers’ intention to use of Internet Banking, based on the above risk factors. The results indicated that all the risk factors are significant to the intention to use of Internet Banking. The knowledge of these risks as major factors of customer’s adoption and perception in the internet provides banks as a useful tool for the establishment of an effective quality management for their e-businesses.
Impacts of Perceived Risks on Internet Purchasing Intention: In case of Mongo...IJRTEMJOURNAL
Perceived risks are a vital role in the success of e-commerce websites. In Mongolia, few kinds of
online trading websites are working successfully and continuously developing until Today. Although, Online
purchasing amount of consumers is worst compared to retail shopping market. The research study focused to
investigate influences of perceived risks ( Product Risk, Time Risk, Financial Risk, Delivery Risk, Social Risk ) on
online purchasing intention of Mongolian Young Generate action. The 412 respondents were 18-34 years of age
and data collection procedure the was carried out on the social network. Data analyzing method used SPSS 21
software and Reliability, Correlation, Regression analysis were used to study according to the topic. The research
found that Product risk, Time risk, Financial risk most negative influence on internet purchase intentions
Impacts of Perceived Risks on Internet Purchasing Intention: In case of Mongo...IJRTEMJOURNAL
Perceived risks are a vital role in the success of e-commerce websites. In Mongolia, few kinds of
online trading websites are working successfully and continuously developing until Today. Although, Online
purchasing amount of consumers is worst compared to retail shopping market. The research study focused to
investigate influences of perceived risks ( Product Risk, Time Risk, Financial Risk, Delivery Risk, Social Risk ) on
online purchasing intention of Mongolian Young Generate action. The 412 respondents were 18-34 years of age
and data collection procedure the was carried out on the social network. Data analyzing method used SPSS 21
software and Reliability, Correlation, Regression analysis were used to study according to the topic. The research
found that Product risk, Time risk, Financial risk most negative influence on internet purchase intentions.
Customer Adoption of Internet Banking in MauritiusWaqas Tariq
This document summarizes a study on factors influencing the adoption of internet banking in Mauritius. The study uses logistic regression on survey data from 1240 individuals to analyze what factors predict a person opting for online banking. The regression found that 6 factors were statistically significant: younger age, higher income, lower perceived risk of internet banking, higher perceived usefulness, higher frequency of checking bank accounts, and having internet access at home. The study concludes these are the main determinants for individuals in Mauritius to adopt internet banking.
Risk management in banking a study with reference to state bank of india sbi aIAEME Publication
This document discusses risk management in banking with a focus on credit risk management practices at State Bank of India (SBI) and its associates. It provides an overview of SBI and its subsidiaries, and discusses how SBI has implemented the Basel accords on capital adequacy requirements and approaches credit risk measurement. The document analyzes trends in non-performing assets and capital adequacy ratios at SBI from 2007-2008 to 2012-2013 to assess its risk management practices.
Scoring and predicting risk preferencesGurdal Ertek
This study presents a methodology to determine risk scores of individuals, for a given financial risk preference survey. To this end, we use a regression based iterative algorithm to determine the weights for survey questions in the scoring process. Next, we generate classification models to classify individuals into risk-averse and risk-seeking categories, using a subset of survey questions. We illustrate the methodology through a sample survey with 656 respondents. We find that the demographic (indirect) questions can be almost as successful as risk-related (direct) questions in predicting risk preference classes of respondents. Using a decision-tree based classification model, we discuss how one can
generate actionable business rules based on the findings.
http://research.sabanciuniv.edu.
This document discusses a study that examines the interrelationships between trust, perceived risk, and behavioral intention for technology acceptance and internet banking. The study develops an integrated model to explain how trust and perceived risk influence consumers' behavioral intention to use internet banking services. The research was conducted through a survey of 432 young Chinese consumers and analyzed the relationships between trust, perceived risk, and behavioral intention regarding the adoption of internet banking services in China.
Risks and Trust in Internet Banking: Sample Evidence from Pathanamthitta Dist...IOSR Journals
The marvelous kinds of innovation in technology and hard line blend of it with information technology made a paradigm shift in the banking industry. Technology itself created its world in the globe of human beings. The beginning of E- banking created a phenomenal system- Internet banking. Internet banking is a kind of systems that enable financial institution customers, individuals or businesses, to access accounts, transact business, or obtain information on financial products and services through the Internet. The main objectives of the paper are: 1.to understand the profile of Internet banking users in Pathanamthitta District. 2 .to identify the most widely used application of Internet banking. 3. to understand the influence of gender on various dimensions of risk in the usage of Internet banking. 4. to understand the influence of gender on various dimensions of trust in the usage of Internet banking. It is found that the popular internet banking services are; balance enquiry, followed by recharging mobile phones, banking service information and payment to other account. Most of the users are in the age group of 20-30 either employed or student with a monthly income of below 40,000 with educated with an average or advanced level of computer knowledge. The Chi-square test revealed that there is no statistically significant difference between the opinion of males and females towards risk are found. There is significant difference between males and females towards trust is found.
This document discusses risk management practices in the Indian banking system and supervision by the Reserve Bank of India (RBI). It provides an overview of the types of risks banks face, including credit, market, and operational risks. The document also summarizes several academic studies that have examined relationships between macroeconomic variables, bank performance, and risk. Overall, the document analyzes current risk management practices of banks in India as directed by RBI guidelines and regulations.
This document summarizes a study that examined information security threats to digital banking. Semi-structured interviews and questionnaires were used to collect data from employees and clients of a financial institution. The findings identified four main threats: phishing, profile cloning, viruses/spam, and spyware. Both employees and clients rated phishing as the biggest threat, while spyware was seen as the smallest threat. The study concluded that financial institutions face ongoing challenges to address evolving digital banking security risks.
Electronic Customer Relationship Management and Consumer Behaviour (A Study o...IJRTEMJOURNAL
The study focuses on electronic customer relationship management and consumer behavior with
special emphasis on diamond bank Plc. Retail financial services in all markets, including emerging markets, are
undergoing major transformation that is driven by change, deregulation and customer sophistication. Electronic
Customer service and specifically online customer relationship management in particular is crucial to attaining
a sustainable competitive advantage, in the market place. The main objective of the study is to examine the effect
of electronic customer relationship management on customer patronage. A survey design was adopted for the
study and one hundred and ninety copies of structured questionnaire were used as primary data collection
instrument which was distributed to customers of diamond bank in the study area. However, the postulated
hypotheses were tested by employing the Pearson product moment Correlation Coefficient (PPMCC) statistical
tool which was facilitated by the statistical packages for social sciences (SPSS). The study however showed that
a significant relationship exists between e-CRM and consumer behavior. Furthermore, it was found that amongst
the dimensions of e-CRM, e-commitment and e-satisfaction impacts more significantly on customer patronage.
The study therefore concludes that Nigerian money deposit banks should increase their electronic platform
strategies since they commensurably impact on their level of customer patronage. However, the study
recommended that the key to efficient performance of Nigeria banking industry is hinged on their ability to
identify, attract, retain and develop their customers better than competitors and could be achieved by improved
e-trust, e-commitment and e-satisfaction. Limitation and suggestion for further studies was given.
Adverse Selection and Moral Hazard in Joint-Liability Loan ContractsArturo Rodriguez
This document summarizes a study that used an experimental design to examine the relationship between joint-liability lending, adverse selection, moral hazard, and risk preferences. The experiment involved 200 Bolivian subjects who were given hypothetical investment choices and asked to choose between individual and joint-liability loan contracts. The results indicate that subjects endowed with risky projects were more likely to choose joint-liability contracts, suggesting joint-liability may induce adverse selection. Additionally, under joint-liability contracts subjects were more likely to choose risky investments, indicating joint-liability can induce moral hazard by enabling risk shifting. The findings offer insight into why joint-liability loans have decreased in popularity among microfinance lenders and borrowers in recent years.
This document summarizes a proposed model for a microcredit institution. It discusses performing a break-even analysis to understand the loan size and interest rates needed. It also proposes a mathematical model to analyze the creditworthiness of borrowing groups and measure the associated risks. The document provides background on microcredit and discusses several previous studies on topics like trust in lender-borrower relationships, experimental economics studies of microfinance mechanisms, the effects of microcredit on long-run development, and using insurance products to enhance access to microcredit for farmers.
An assessment of factors affecting banks’ risk exposure in north central nigeriaAlexander Decker
The document summarizes a study that assessed factors affecting banks' risk exposure in North Central Nigeria. The study identified five main factors through factor analysis: liquidity and interest, domestic market, international market, business operation, and credit. It recommends that banks consider these factors in developing effective risk management strategies to reduce potential losses.
This study examined customers' usage of digital banking in Gobichettipalayam, Erode District, Tamil Nadu. A survey was conducted of 100 banking customers to understand their perceptions and factors influencing adoption of digital banking. Results showed that income, education, and age significantly impacted digital banking usage. Customers were motivated by the convenience of 24/7 access, time savings, and ease of use. However, some concerns around security of personal information and safe transactions remained. Overall, customers seemed to be adapting to digital banking despite challenges, with convenience factors being key drivers of popularity and satisfaction.
This document summarizes an experiment on microfinance games conducted in Lima, Peru over seven months. The experiment tested different individual and group lending mechanisms to explore their impact on investment decisions and loan repayment rates. Key findings include:
1) Adding "dynamic incentives" that deny future loans to those in arrears decreases risky project choice and default rates under any loan contract.
2) Group lending increases risky investment choice when borrowers can communicate, but has little effect without communication.
3) Group lending increases loan repayment rates by creating implicit insurance between borrowers, passing costs to clients. The most risk-averse borrowers bear these costs most heavily.
4) When groups form endogenously
This study examined the relationship between five dimensions of corporate social responsibility (CSR) (social, ethical, legal, environmental, technological) and competitive advantage in the Jordanian commercial banking sector. A survey of 206 employees across five commercial banks was conducted. Regression analysis found that 40.4% of the variance in competitive advantage is explained by changes in the CSR dimensions. Specifically, the legal, environmental, and technological dimensions had a statistically significant positive impact on competitive advantage, while the social and ethical dimensions did not. The findings suggest banks could improve competitive advantage by focusing CSR efforts on legal, environmental, and technological responsibilities.
American Journal of Multidisciplinary Research and Development is indexed, refereed and peer-reviewed journal, which is designed to publish research articles.
This document provides a literature review and background on a study evaluating internet banking security among customers of Indian Bank in Coimbatore, India. It reviews previous studies on topics like internet banking adoption, security, and customer perceptions. It then outlines the objectives, scope, methodology, and hypotheses of the current study. Preliminary results are presented including the demographic profile of respondents and their awareness levels of various internet banking security measures offered by the bank. Tables show the modes through which customers became aware of internet banking and their perceptions of the benefits of traditional banking versus internet banking.
2. of risk is similar to the area of behavioral finance in which Financial risk: The potential monetary outlay associated
scholars examine downside risk, the potential for below with the initial purchase price as well as the subsequent
target returns, or the possibility of catastrophic loss. In maintenance cost of the product. The current financial
addition, Jacoby and Kaplan (1972) and Tarpey and Peter services research context expands this facet to include the
(1975) developed six components or dimensions of recurring potential for financial loss due to fraud.
perceived risk including: financial, product performance, Time-consuming risk: Consumers may lose time when
social, psychological, physical, and time/convenience loss [6, making a bad purchasing decision by wasting time
9, 12, and 19]. researching and making the purchase, learning how to use a
Weber (2003) has offered the following perspective of product or service only to have to replace it if it does not
risk perception: First, perceived risk appears to be subjective perform to expectations [21].
and, in its subjectivity, casual. That is, people's behavior is
mediated by the perceptions of risk. Secondly, risk II. RESEARCH METHODOLOGY
perception, like all other perception, is relative. We seem to The method of this research is descriptive-deductive. The
be hardwired for relative rather than absolute evaluation. research sample consisted of 360 subjects who were chosen
Relative judgments require comparisons, so many of our through simple random sampling method. For testing
judgments are comparative in nature even in situations where hypothesis, a questionnaire containing 32 questions was
economic rationality would ask for absolute judgment. prepared and after evaluating validity and reliability, it was
Closer attention to the regularities between objective events distributed among 360 customers that were statistical sample.
and subjective sensation and perception well documented The results of the survey were analyzed by Paired T- test.
within the discipline of psychophysics may provide The questionnaire included two sections. The first section
additional insights for the modeling of economic judgments which was coded by alphabetic letters was controlled by
and choice [7]. variables such as gender, age, marital status and education.
MacCrimmon and Wehrung (1986) from the field of The second section to test the study hypothesis has been set
management define perceived risk into 3 main groupings: 1) in two parts. The first part included 12 questions related to
the amount of the loss, 2) the possibility of loss, and 3) the traditional banking process and the second part included 20
exposure to loss [10]. questions related to Electronic banking process. All these
Studies carried out previously have shown cross-cultural questions were measured using five-point Likert scales. For
differences related to risk perception. Goszczynska et al. measuring the validity of the questionnaire, we used content
(1991) showed that there was greater variance in risk validity. For this purpose, the questionnaire provided for 7
perception between countries than between different regions management professors. The content validity of the
in one country. This may be due to cultural differences questionnaire was 0.77. For measuring reliability of
related to how people perceive different risk sources. questionnaire, we used Cronbabchs Alpha whose value was
Differences in the tendency to rate risks as high or low might 0.79.
be related to the size of the country [14].
Slovic et al. (1982) suggested that risk perception is III. DATA ALALYSIS
likely to vary between cultures depending on what the media In order to analyze data descriptive statistical methods
chose to focus on. Wåhlberg and Sjøberg (2000) argued that and paired t-test was used. The normality of data was tested
media might have an effect on risk perception via availability. by Kolmogorov-Smironov test.
Information is thought to lead to stronger effects [8]. Hypothesis 1: There is a meaningful difference between
Culture forms the background which not only allows customers' risk perception in traditional banking process and
cognitive mechanisms to work, but also addresses E-banking process in the branches of Tabriz Karafarin bank,
preliminarily the selection of the risks. According to this for testing this hypothesis paired t-test was used. The results
view, rather than being a creation of the cognitive processes, are showed in Table 1.
the risk is a product of the social and cultural structures
within which it is placed. The point is that the line dividing TABLE 1
the risks in acceptable and unacceptable is traced according
to cultural evaluations. It is the degree by which the cultural Std.
Std.
Mean Error t df Sig
values fundamental for that society are posed in danger Deviation
Mean
which determines whether the risk can be considered Total risk
0.2134 0.70842 0.03734 5.716 359 0.000
perception
acceptable [13].
Risk facets Definition As shown in table 1, this hypothesis in 95% confidence
Physical risk: The risk to the buyer's or other's safety in interval is supported (p<0.05, t=5.716). In other words, there
using products. is a meaningful difference between customers' risk
Performance risk: The possibility of the product perception in E-banking process and traditional banking
malfunctioning and not performing as it was designed and process in the branches of Tabriz Karafarin bank. Also, the
advertised and therefore failing to deliver the desired benefits. mean of customers' risk perception in E-banking process is
Psycho-sociological risk: The risk that the service will 3.3472 and in traditional banking process is 3.1338. then,
lower the consumer's self image or using a product or service customers' risk perception in E-banking process is more than
may lead to embarrassment before one's social group. traditional banking process.
105
3. Hypothesis 2: There is a meaningful difference between there is not a meaningful difference between customers'
customers' physical risk perception in traditional banking psycho-sociological risk perception in E-banking process and
process and E-banking process in the branches of Tabriz traditional banking process in the branches of Tabriz
Karafarin bank, for testing this hypothesis paired t-test was Karafarin bank.
used. The results are showed in Table 2. Hypothesis 5: There is a meaningful difference between
customers' financial risk perception in traditional banking
TABLE 2 process and E-banking process in the branches of Tabriz
Karafarin bank, for testing this hypothesis paired t-test was
Std.
Mean
Std.
Error t df Sig
used. The results are showed in Table 5.
Deviation
Mean
physical TABLE 5
risk 0.5267 1.18235 0.06266 8.405 355 0.000
perception
Std.
Std.
As shown in table 2, this hypothesis in 95% confidence Mean Deviation
Error t df Sig
Mean
interval is supported (p<0.05, t=8.405). In other words, there
is a meaningful difference between customers' physical risk Financial
3.565
risk 0.2623 1.38046 0.07358 351 0.000
perception in E-banking process and traditional banking perception
process in the branches of Tabriz Karafarin bank. Also, the
mean of customers' physical risk perception in E-banking As shown in table 3, this hypothesis in 95% confidence
process is 3.1108 and in traditional banking process is interval is supported (p<0.05, t=3.565). In other words, there
2.5843. then, customers' physical risk perception in E- is a meaningful difference between customers' performance
banking process is more than traditional banking process. risk perception in E-banking process and traditional banking
Hypothesis 3: There is a meaningful difference between process in the branches of Tabriz Karafarin bank. Also, the
customers' performance risk perception in traditional banking mean of customers' performance risk perception in E-
process and E-banking process in the branches of Tabriz banking process is 3.5132 and in traditional banking process
Karafarin bank, for testing this hypothesis paired t-test was is 3.2430. then, customers' performance risk perception in
used. The results are showed in Table 3. traditional process is more than E-banking banking process.
hypothesis 6: There is a meaningful difference between
TABLE 3 customers' time- consuming risk perception in traditional
banking process and E-banking process in the branches of
Std.
Mean
Std.
Error t df Sig
Tabriz Karafarin bank, for testing this hypothesis paired t-
Deviation
Mean test was used. The results are showed in Table 6.
Performan
ce risk -0.480 1.11102 0.05888 -8.161 355 0.000
perception TABLE 6
As shown in table 3, this hypothesis in 95% confidence Std.
Std.
interval is supported (p<0.05, t=8.161). In other words, there Mean
Deviation
Error t df Sig
is a meaningful difference between customers' performance Mean
risk perception in E-banking process and traditional banking Time risk
0.8395 1.22102 0.06508 12.899 351 0.000
process in the branches of Tabriz Karafarin bank. Also, the perception
mean of customers' performance risk perception in E-
banking process is 3.1059 and in traditional banking process As shown in table 6, this hypothesis in 95% confidence
is 3.5810. then, customers' performance risk perception in interval is supported (p<0.05, t=12.899). In other words,
traditional process is more than E-banking banking process. there was a meaningful difference between customers' time-
Hypothesis 4: There is a meaningful difference between consuming risk perception in E-banking process and
customers' psycho-sociological risk perception in traditional traditional banking process in the branches of Tabriz
banking process and E-banking process in the branches of Karafarin bank. Also, the mean of customers' time-
Tabriz Karafarin bank, for testing this hypothesis paired t- consuming risk perception in E-banking process is 3.6360
test was used. The results are showed in Table 4. and in traditional banking process is 2.7933. then, customers'
time- consuming risk perception in E-banking process is
TABLE 4 more than traditional banking process.
Std. IV. CONCLUSION
Std.
Mean Error t df Sig
Deviation
Mean The results of this research indicate: Hypothesis 1, there
Psycho- is a meaningful difference between customers' risk
sociological
risk
-0.068 1.09546 0.05790 -1.178 357 0.240 perception in traditional banking process and E-banking
perception process in the branches of Tabriz Karafarin bank, is
supported. Hypothesis 2, there is a meaningful difference
As shown in table 4, this hypothesis in 95% confidence between customers' physical risk perception in traditional
interval is not supported (p>0.05, t=1.178). In other words, banking process and E-banking process in the branches of
106
4. Tabriz Karafarin bank, is supported, too. This research personal privacy by enhancing security system of banks and
suggests that one of the reasons which raises customers' risk train customers to use the system correctly. Suggestion 3. In
perception of E-banking process, is slow connections and order to increase the efficiency of ATM machines banks
malfunction of telecommunication services, especially should regularly check devices to ensure their safety and
during the time before Christmas and employees' salary pay cash. Suggestion 4. Banks have to reduce the lines and
time. These reasons reduce customers' confidence and communication networks and internet failure by developing
satisfaction. Hypothesis 3, there is a meaningful difference infrastructure network communication and creating new
between customers' performance risk perception in communication technologies in the banking system.
traditional banking process and E-banking process in the Suggestion 5. In order to improve E-banking culture, banks
branches of Tabriz Karafarin bank, is supported, too. have to instruct the customers how to use electronic services
Customers' Personal Privacy is very important in the efficiently. They should also advertise E-banking services
electronic banking process. Therefore, Electronic security through media and familiarize customers with the new
systems in banks should be increased. According to the low electronic services.
technology of ATM machines, banks can update these Second: Suggestions for future researchers:
systems by improving technological infrastructure and In this study, the dimension of risk perception is based on
reducing the losses that result from improper performance of the combination theory of Peter and Tarpey. But, future
these machines. Hypothesis 4, there is a meaningful researchers are suggested studying other theories, too. Also,
difference between customers' psycho-sociological risk researchers can study either in other banks or in the branches
perception in traditional banking process and E-banking in other provinces.
process in the branches of Tabriz Karafarin bank, is not
supported. Hypothesis 5, there is a meaningful difference REFERENCES
between customers' financial risk perception in traditional [1] A., Ashta, " Evolution of Mobile Banking Regulation", Apr., 2010.
banking process and E-banking process in the branches of (id: http://ssrn.com/abstract=1583080).
Tabriz Karafarin bank, is supported. These results may imply [2] A. E., Tschoegl, "International Banking Centers, Geography, and
that those who believe electronic services are useful and Foreign Banks", Financial Markets, Institutions and Instruments, Vol.
9, No. 1, Feb. 2000. (id: http://ssrn.com/abstract=234300).
perceive lower potential risks in financial transactions will
[3] C.E., Bannier , E., Feess, N., Packham, "Competition, Bonuses, and
tend to embrace this service sooner [21]. Hypothesis 6, there Risk-Taking in the Banking Industry ", Oct., 2010, (id:
is a meaningful difference between customers' time- http://ssrn.com/abstract=1688835).
consuming risk perception in traditional banking process and [4] C. E. V., Borio, M., Drehmann, "Assessing the risk of banking crises
E-banking process in the branches of Tabriz Karafarin bank, – revisited", BIS Quarterly Review, Mar. 2009. (Id:
is supported. We suspect that cultural factors might also http://ssrn.com/abstract=1513316).
affect the acceptance of E-banking process across nations [5] D.D., VanHoose, "Internet Banking", Networks Financial Institute
[21]. Also, banks should purchase insurance because it Policy Brief 2009-PB-12. Dec. 2009, (id:
http://ssrn.com/abstract=1525474).
potentially reduces: the costs associated with conflicts of
interest between owners and customers, expected bankruptcy [6] D.F., Cox, S.U. Rich, “Perceived risk and consumer decision making:
The case of telephone Shopping", Journal of Marketing Research, 1,
costs and the tax burden of banks [18]. Because larger banks 1964, pp. 32-39.
face greater demand for their services, they are more likely to [7] E. U., Weber, "Perception matters: Psychophysics for economists". In
find that adoption of Internet banking provides sufficient cost J. Carrillo and I. Brocas (Eds.), Psychology and Economics. Oxford,
savings to be justifiable from a profitability perspective [5]. UK: Oxford University Press, 2003.
E- banking, which would enable transaction cost reduction [8] ] I. O., Lund, T., Rundmo, “Cross-cultural comparisons of traffic
and increase in outreach to enable poor unbanked people to safety, risk perception, attitudes and behavior", Journal of safety
access micro financial services [1]. science 47, 2009, pp.547-553.
[9] J., Jacoby, L., Kaplan. "The Components of Perceived Risk",
V. SUGGESTIONS Proceedings from Third Annual Conference. Association for
Consumer Research: University of Chicago, 1972, pp. 382-393.
In this research suggestions are provided for two [10] K. R., MacCrimmon, D. A., Wehrung, "Taking risks: The
purposes: management of uncertainty". New York: The Free Press, A Division
First. Suggestions relate to research results: of Macmillan, Inc, 1986.
Considering the research results, it is shown that [11] L. D., Purda, "Risk Perception and the Financial System", Queen’s
customers' risk perception of E-banking process is more than School of Business Research Paper No. 03-08. Ap. 2007, (id:
traditional banking process. The lower the customers' risk http://ssrn.com/abstract=977976).
perception, the higher the productivity and the lower the [12] L.X., Tarpey, J. P., Peter, "A comparative analysis of three consumer
decision strategies", Journal of Consumer Research, 2, 1975, pp. 29-
financial losses rates. For this purpose, the following 37.
suggestions are available as the procedures to reduce the [13] M, Ferrari, "Risk Perception, Culture, and Legal Change. A
customers' perceived risk of E-banking process. Comparative Study on Food Safety in the Aftermath of the Mad Cow
Suggestion 1: Banks need to improve communication Crisis", Jul. 2008, (doi:http://ssrn.com/abstract=1159763).
links, for this purpose they can improve the status of the [14] M., Goszczynska, T., Tyszka, P., Slovic,"Risk perception in Poland: a
network infrastructure, use the special telecommunication comparison with three other countries. Journal of Behavioural
systems and update the technological communicational Decision Making 4, 1991, pp. 179-193.
network. Suggestion 2. Banks can increase customers'
107
5. [15] M. Suoranta, M. Mattila, J. Munnukka, Technology-based services: a [19] R. N., Stone, K., Gronhaug, "Perceived Risk: Further Considerations
study on the drivers and inhibitors of mobile banking, International for the Marketing Discipline", European Journal of Marketing, 3,
Journal of Management and Decision Making 6 (1) (2005) 33–46. 1993, pp. 39-51.
[16] P., Slovic, E., Peters, “Risk Perception and Affect ", Current [20] V., Ricciardi, "A risk perception primer: A narrative research review
Directions in Psychological Science, Vol. 15, No. 6, pp. 322-325, of the risk perception literature in behavioral accounting and
2006. Mar. 2010, (id: http://ssrn.com/abstract=1569106). behavioral finance", Jul. 2004, (id: http://ssrn.com/abstract=566802).
[17] R. Bauer, "Consumer behavior as risk taking, in": D. Cox (Ed.), "Risk [21] X. Luo, H. Li, J. Zhang, J.P. Shim, "Examining multi-dimensional
Taking and Information Handling in Consumer Behavior", Harvard trust and multi-faceted risk in initial acceptance of emerging
University Press, Cambridge, MA, 1960. technologies: An empirical study of mobile banking services",
[18] R. E., Hoyt, A. P., Liebenberg, "The value of enterprise risk Elsevier Science Publishers B. V., 2010, (id:
management", Apr. 2010, (id: http://ssrn.com/abstract=1592606). http://portal.acm.org/citation.cfm?id=1775055).
108