Professional Documents
Culture Documents
Natanpresentationppt Final2 231220072506 6cfe52d7
Natanpresentationppt Final2 231220072506 6cfe52d7
Natanpresentationppt Final2 231220072506 6cfe52d7
Supervised by:
Hassen Beshir (Ph.D)
July, 2020
Dessie, Ethiopia
Presentation outline
1. Introduction
2. Research Methods
4. Conclusion
5. Recommendations
July, 2020 2
Statement of the problem
• The Banking industry in Ethiopia plays a significant role in the country’s economy.
Through borrowing, lending and related activities, banks facilitate the process of
production, distribution, exchange and consumption of wealth (Ayana, 2014)
• Banks also administer payment systems which are core to an economy. Competition
and limitation of resources has placed banks under pressure to lower their transactional
cost and improve their services and maintain quality of service.
• All banks in Ethiopia are too late to move with technological advancement and they
should clearly chart out the time schedule for their integration and technological
advancement (Ayana, 2014)
July, 2020
Statement of the problem …
• E-banking practice of Commercial bank of Ethiopia are facing challenges such as
customer preference of the E-banking service, convenience of clients to utilize or
customers willingness to use electronic banking and adopt E-banking facilities are
low (Commercial Bank of Ethiopia annual report 2018).
• Moreover, despite the importance of E-banking service adoptions, limited studies are
currently available in Ethiopia banks.
• Although there are many research works conducted worldwide, there are very few or
limited published works that tried to investigate the factors affecting the adoption of
E- banking by customers in Ethiopia.
July, 2020
Statement of the problem …
• In addition many of the researches conducted did not consider organization and income
of the customers as a factor and in countries like Ethiopia; people are greatly influenced
by organization, socio-economic and culture of the adoption and usage of e-banking
services (Gardachew, 2018).
• Due to this fact, the researcher is initiated to conduct a study to fill the gap that focuses
on the major determinants affecting adoption of E-banking service in Commercial bank
of Ethiopia customers.
July, 2020
Objectives
• The main aim of this study is to identify the factors which influence the adoption and usage of
E-banking services in Commercial bank of Ethiopia especially in Tossa branch customers
• Specifically:
To identify the technological factors affecting the adoption of electronic banking services.
To assess how perceived usefulness and easy to use affecting adoption and usage of E-
banking.
To examine the socio-economic and cultural profiles of adoption and usage of E-banking.
July, 2020
Research design and target population
• The target population of the study were being the total number of customers of
Commercial Banks of Ethiopia in Tossa branch in June, 2018.
• Since the researcher was interested in the concept of intention the respondents are
both users & non-users of E- banking and just one time users (not continual
users).
July, 2020
sample size determination
• The study applied simple random sampling techniques.
• The total customers of Commercial bank of Ethiopia Tossa branch as of June 30, 2018
performance report was 24,840 and the sample size is determined based on the
following simplified formula proposed by Yamane’ (1967) formula to calculate sample
Size.
n = 24,840
= 1+24,840(0.05)2
= 394 respondents
• From the total respondents, 310 of them were non users and 84 respondents were users
of e-banking services.
Sampling techniques and sample size determination
• By using the sample size determined above, the researcher is used
proportionate stratified sampling criteria (Birchalleyill, 2004) to
distribute the sample size.
• Table 1. sample distribution
population Sample size Percentage %
Adoption 84 21
and users 5,200
Total 24,840 394 100
Type and source of data
• For this study both primary and secondary data were used;
o The primary data was gathered from Commercial bank of Ethiopia customers to
obtain information which provide answers to the research questions.
o The secondary data were collected from Commercial bank of Ethiopia documents
like report and websites.
July, 2020
Method of data analysis
• Both descriptive and econometric analysis were used to analyze the collected data.
July, 2020
Variables…
Table 2. Description of variables used in the model and
Variables used Explanation Category Expected signs
Dependent variable
Adoption and Adoption and usage of Electronic Continuous
Usage of e-bank banking
Independent variables
Age Age of the respondent Continuous +
Sex Sex of the respondent Dummy +
Education Educational category of the respondent Categorical +
Income Income of the respondent Continuous +
Techno Technological Factor Dummy -
Ease Perceived ease to use Dummy +
Organization Organizational factor Dummy +
usefulness Perceived usefulness Dummy +
occupation Occupational status of the Respondent Categorical +
martial Martial status of respondent Dummy +
Descriptive Statistics and logistic regression
This section is mainly concerned with the descriptive part which was
mainly focused on the description of demographic, socioeconomic as
well as institutional characteristics of the respondents as it would
help to frame the econometric analysis.
• On the other hand, it was negatively related with technology/perceived risk; that means as
the customer’s confidence decreased it is more chances to adopt and use of e-banking
services.
• Most of the respondents are male (55%) which shows that men are more participants than
women (45%). Most of respondents have high literacy levels and works in the
government organization, and their income level of respondents are between Birr 5000-
10000 per month.
Based on the findings of this study the following recommendations can be drawn;
• Management of commercial bank of Ethiopia Tossa Branch bank should own the issue of
modernizing their services through E-banking and give continuous, strong and proactive
support.
• To exploit the benefit of E-banking system, commercial bank of Ethiopia Tossa Branch needs
to familiarize their customers with the processes and benefits of the system.
Recommendations…
• Commercial bank of Ethiopia Tossa Branch should pay special attention to deliver service
to customers by using E- banking system, which can easily be accessible.
July, 2020
THANK YOU!!