Risk Governance and Control: Financial Markets & Institutions/ Volume 7, Issue 4, Fall 2017, Continued - 2
270
GOVERNANCE OF THE IMPACT OF
PRICE SATISFACTION DIMENSIONS ON
MOBILE BANKING ADOPTION
Pinigas Mbengo *, Maxwell A. Phiri **
* Department of Electronic Commerce, School of Business and Management Sciences, Zimbabwe
** College of Law & Management Studies, University of KwaZulu-Natal, South Africa
Abstract
How to cite this paper:
Mbengo, P., & Phiri, M.A. (2017).
Governance of the impact of price
satisfaction dimensions on mobile
banking adoption. Risk Governance and
Control: Financial Markets & Institutions,
7(4-2), 270-278.
http://doi.org/10.22495/rgc7i4c2art9
Copyright © 2017 The Authors
This work is licensed under the Creative
Commons Attribution-NonCommercial
4.0 International License (CC BY-NC
4.0).
http://creativecommons.org/licenses/b
y-nc/4.0/
ISSN Online: 2077-4303
ISSN Print: 2077-429X
Received: 01.06.2017
Accepted: 14.10.2017
JEL Classification: G32, D12, G34
DOI: 10.22495/rgc7i4c2art9
The Reserve Bank of Zimbabwe has encouraged the use of mobile
banking services in a bid to promote financial inclusion and as an
additive banking channel to compliment traditional banking model.
The mobile phones have phenomenally changed the way the
Zimbabwean banking industry is conducting business. The major
purpose of this study is to critically examine the impact of influence
of price satisfaction dimensions on behavioural intention to adopt
mobile banking. The study used a descriptor-explanatory design
whereby descriptive design was a precursor to explanation. Data was
collected using a questionnaire and analysed using the Statistical
Package for Social Sciences (SPSS). Findings show that relative prices
had the strongest positive influence on behavioural intention to
adopt mobile banking. However, price confidence did not indicate any
significant relationship with dependent behavioural intention and the
hypothesis so associated was therefore not supported. Price fairness
and price transparency had negative significant relationships with the
dependent variable behavioural intention to adopt mobile banking.
Given these findings, the researchers made recommendations to
various stakeholders in the banking industry. This study is important
because it highlights the dimensions that are powerful predictors in
attracting new customers in the mobile baking industry.
Keywords: Adoption, Dimensions Mobile Banking, Price Satisfaction,
Price Transparency, Perceived Cost, Relative Prices
1. INTRODUCTION
Pricing is one of the marketing mix elements that
directly influence revenue generation by an
organisation but prices are often set without taking
careful consideration of consumer perceptions and
their attitude (Lovelock, and Wirtz, 2012). Price has
been identified as one of the important variables that
influences positively and negatively the attitude and
behaviour to adopt new technology. Mobile banking
can be treated as one of the newest technological
elements banks are embracing (Saleem and Rashid,
2011:537). Mobile banking has been commended for
its convenience to do financial transactions anytime
anywhere. The main aim of this paper is to examine
the impact of price satisfaction dimensions on
attitude to adopt mobile banking in Masvingo
province. Consumers in Masvingo have mixed views
about the adoption of this highly technical banking
approach. Price satisfaction dimensions have been
heavily studied by Diller (2000) in consumer
behaviour and Matzler et al. (2006) in the traditional
retail banking services (Hortamani, Ansara, & Akbai,
2013:46). Little or no research of price dimensions
has been done in mobile banking (Jirofti and Nazari,
2014) and even in Zimbabwe. The study of price
satisfaction dimension is significant in purchasing
decision process (Gyan and Somogyi, 2012:44) and
pricing has a great impact on attitude by consumers
towards adopting a new product. Even if several
studies have addressed the impact of pricing on
behavioural intention to purchase products, little
attention has been afforded the constructs of price
satisfaction. These price dimensions have the
potentiality to drive consumers in Masvingo province
to adopt mobile banking. In order to understand the
impact of price satisfaction dimensions on attitude to
adopt mobile banking, there is need to carry out an
empirical study in Masvingo province.
Basing on literature review, the research
question that guides this study is to determine the
impact of price satisfaction dimension on behavioural
intention to adopt mobile banking in Masvingo
province. The price dimensions considered in this