American Journal of Applied Sciences

CONSUMERS’ PERCEIVED RISK AND ITS EFFECT ON ADOPTION OF ONLINE BANKING SERVICES

Fereshteh Farzianpour, Mahsa Pishdar, Masoumeh Danesh Shakib and Mohammad Reza Seyyed Hashemi Toloun

DOI : 10.3844/ajassp.2014.47.56

American Journal of Applied Sciences

Volume 11, Issue 1

Pages 47-56

Abstract

Although online banking services have gained a lot of attention, many consumers are still not willing to use them. Since online banking services can be a competitive advantage for banks, it is useful to know the core factors affecting the use of online banking services. This study sheds light on different aspects of consumers’ perceived risk to analyses the influence of total perceived risk and consumers’ willingness to embrace innovation on online banking services adoption. Results of the study show that the consumer’s total perceived risk and willingness to accept innovation both have a direct effect on online banking services adoption, while willingness to adopt innovation has no significant influence on the consumer’s total perceived risk. Meanwhile, it seems that social perceived risk cannot increase the consumer’s total perceived risk. Beside these, the extent of other consumers’ perceived risks is forecasted by the execution of a neural network. This forecasting helps to understand whether other consumers that have same feeling as members of study society are willing to adopt online banking services or not.

Copyright

© 2014 Fereshteh Farzianpour, Mahsa Pishdar, Masoumeh Danesh Shakib and Mohammad Reza Seyyed Hashemi Toloun. This is an open access article distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited.