International Journal of Applied Science and Engineering 2020. 17, 1: 107-120 Int. J. Appl. Sci. Eng., 2020. 17, 1 107 The Impacts of Facilitating and Inhibiting Factors on Usage Intention of Mobile Payment Services Wen-Kuo Chen a , Erwin Mangatur Siburian b and Chien-Wen Chen c* a Department of Marketing and Logistics Management, Chaoyang University of Technology, Taichung, Taiwan, R. O. C. b Taiwan Industrial Strategy and Development, Department of Business Administration, Chaoyang University of Technology, Taichung, Taiwan, R. O. C. c Department of Business Administration, Feng Chia University, Taichung, Taiwan, R. O. C Abstract: Mobile commerce has been booming with the development of mobile technology, which has made mobile payment services highly valued by mobile payment service providers and consumers. This study integrated facilitating factors (perceived transaction convenience, social influence, additional value, government support) and inhibiting factors (psychological risk, financial risk, privacy risk) to explore which ones influence users’ usage intentions to use mobile payment services. A research model was developed and empirically tested by using structural equation modeling (SEM) on datasets consisting of 602 mobile payment services users through an online survey questionnaire in Taiwan. Our findings show that the facilitating factors had a significant positive impact on usage intention, with the greatest impact from the factor of government support. Moreover, perceived risk had a significant negative impact on usage intention, with the greatest impact from the factor of financial risk. Therefore, this indicates that consumers take whether there is a financial loss in the process of using mobile payment service into consideration as the major factor to use it. Keywords: Mobile payment; facilitating factor; inhibiting factor; usage intention. 1. Introduction With the popularity of smartphones, mobile payment applications are more common, replacing traditional payment procedures and becoming a more convenient and safer payment method [1]. Mobile payment is defined as a way to pay for goods/services with mobile devices (e.g. smartphone) [2]. It is forecasted that worldwide mobile payment transaction volume will increase from US$4.3 trillion in 2018 to US$11.14 trillion in 2021, while the number of global mobile payment users is expected to grow from 830 million in 2018 to 11.1 billion in 2021 [3]. According to the survey of Financial Supervisory Commission (FSC) [4], by July 2019 there were 5.55 million mobile phone subscribers adopting mobile payment services, accounting for about 28.5% of the adult population. Therefore, there is a need to examine what facilitates and prevents consumers from adopting mobile payment services, which will be valuable for Taiwan mobile payment service providers that wish to promote m-payment acceptance. Previous studies mostly used TAM (Technology Acceptance Model) [5-8], UTAUT (Unified Theory of Acceptance and Use of Technology) [9, 10], UTAUT2 (Unified Theory of Acceptance and Use of Technology) [11-15], and integrated TAM and UTAUT [16, 17] to investigate the behavior intentions of mobile payment services usage. However, as these studies focused on technology adoption factors (e.g. perceived ease of use and perceived usefulness etc.), they ignored other influencing factors (e.g. perceived risk, government support, and additional value) to adopt * Corresponding author; e-mail: chencw@fcu.edu.tw Received 18 November 2019 doi:10.6703/IJASE.202003_17(1).107 Revised 10 January 2020 ○ C 2020Chaoyang University of Technology, ISSN 1727-2394 Accepted 19 February 2020