Increased competition from non-bank financial services and the telecommunication industry, advent of new information technologies, erosion of product and geographic boundaries, and less restrictive governmental regulations have forced banks to expedite the adoption of Internet banking. For the profit of Internet Banking, whether customers remain with or defect from it is very important. However, there is little empirical evidence about how to evaluate the Internet Banking service from the customers’ viewpoints and their impact on customers’ responses.
In this thesis, I identify factors that affect the customer satisfaction for the Internet Banking to meet customer needs and enhance business process efficiency. Using self-reported data from 124 individuals having the experience of using the Internet, I found out the current situation of Internet Banking Service and tried to find out what factors encourage or discourage the consumers using the Internet Banking Service.
Results of this study show that Internet Banking Service have positive relationships with conveniences and satisfactions, but negative relationships with restrictive conditions and risk. It was also revealed how perceived risks and conveniences influence customer satisfaction when consumers are exposed to the Internet Banking service.
