DETERMINANTS OF MOBILE BANKING ADOPTION; IN THE CASE OF LION INTERNATIONAL BANK

Abstract

This study investigates Determinants of Mobile Banking Adoption in Ethiopia taking Lion International Bank Share Company as area of the study. To achieve the research objective, the study is used a combination of both TOE and TAM framework with some modifications to benefit from both models and to have a more precise understanding on the determinant factors in the adoption of mobile banking service at Lion International Bank. To address the research objective a convenience sampling was used and 339 sample employees were usable. The gathered data was analyzed using descriptive statistics such as mean, percentage and standard deviation. Besides, Binary logistic regression analysis is conducted to understand the relationship between adoption mobile banking and perceived usefulness, perceived ease of use, perceived risk, organizational factor and environmental factor. As result the study found out that perceived usefulness, perceived ease of use, organizational factors and environmental factor have positive relationship with the adoption of mobile banking whereas perceived risk has negative relationship with the adoption of mobile banking. The study recommended the top managements of Lion International bank have to consolidate their efforts to keep ahead the positive outcomes Hello cash mobile banking and investing on promotional campaign to create awareness, expand customer bases, credibility, security, ease of use, while the government and National Bank of Ethiopia should support banking sector by facilitating sufficient ICT infrastructure development and issue workable legal frameworks to ease the adoption of agency banking system.