Customers adoption of internet banking service: an empirical examination of the theory of planned behavior in Yemen

Abstract

The explosion of Internet usage and the great funding initiatives in electronic banking have taken the attention of researchers towards Internet banking. At the beginning, the conventional focus of Internet banking research has been on technological infrastructure, but this is now shifting to user-focused research. Although millions of dollars have been paid to invest in the Internet banking services, reports have shown that potential users may not use these services. A great deal of research has been conducted in various countries to determine the factors that influence acceptance of Internet banking. However, these studies have not taken into account emotional dimension that related to individuals’ technology readiness. In addition, there is still very few research has been conducted on the Internet banking in Arab countries in general, and Yemen, in particular. Therefore, this study attempts to fill this gap via applyingthe theory of planned behavior (TPB) in developing countries (i.e., Yemen). Based on a sample of 1286bank customers, structural equation modeling was applied to data analysis. The results strongly support the TPB model. Attitude, subjective norm and perceived behavioral control have a significant positive effect on individuals’ intention to adopt the Internet banking service.