Bank

Financial institutions, specifically the banking industries were those that benefit most with the rise of IT. They rely heavily on gathering, processing, analyzing, and providing information in order to meet he needs of the customers. These information are considered essential such that banking demands for prompt and accurate information. Then, Information Technology has made what seemed to be impossible in the past into a reality at this day and age. It is not surprising though banks were among the earliest adopters and eclectic users of automated information processing technology.

In the late 1960s, banks began to realize the comfort and convenience it could offer the industry, as well as its customers. Existing services were innovated and the introduction of new ones has increased in order to attract more customers and increase their demands. At the same time IT has reduced labor and processing costs. For example, from 1979 to 1994 the cost of an electronic transaction declined from 9. 0 cents to 1. 0 cent, while the cost of processing checks actually increased from 1. 9 cents to 2. 5 cents because of rising wages and paper costs.

Information technology has added more confidence and security to the banking industry. (Katz & Jordan, 1999) Numerous paper works which were done manually over a long period of time is more than just minimized. Opening, maintaining, and closing bank accounts were simply clicks away for the customers. Merchants’ time and effort of going to and from the bank offices falling in lengthy lines are no longer observed. Any transaction can already be done by customers at any given time and place, without personally meeting the bank personnel.

Information Technology’s sophisticated features have made possible the various applications as much as the structures of the banking industry. Due to this perceived constant development of the industry, a far better evolution is likely to happen in the future. (Ghaziri, 1998; Katz & Jordan, 1999) With the use of various information stored into different forms such as voice, data, images, and videos, banks are now able to manage various applications and transactions in the nick of time.

Furthermore, banks are becoming more competitive in the global market as much as they compete among themselves. This competition however benefits the consumers such that banks contend to providing the best customer service in order to meet the needs of the consumers. (Ghaziri, 1998) For financing firms, IT has opened up a wider and better market for them. With the use of Information Technology, they now use statistical models to evaluate risk efficiently, originate loans, transform them into marketable securities, and sell them to obtain funding to make more loans.

(Katz & Jordan, 1999) IT in the Banking Industry in Thailand One of the most IT competitive in the Southeast Asian countries in its application to banking industries is Thailand. In a study conducted by Wataganase in 2001, the problems that the country had faced are inadequate information system, inability to utilize policy instruments, particularly the exchange rate, outdated legal framework, inexperienced risk management, poor governance of financial institutions and corporations, and lax supervision.

However, the country was able to overcome each of these problems. Each one had been addressed appropriately by its government including the Bank of Thailand. Various symposia were organized that educate the banking and finance industries with the necessary knowledge and understanding of the risks and benefits of the issues involved. (Wonglimpiyarat, n. d. )

Local banks in Thailand fall into three categories – a) banks whose major shareholders are Thai investors, individual and institutions and that which consists of five banks; b) the four hybrid or international Thai banks which were predominantly owned by foreign shareholders, especially foreign banks, during the Thai economic crisis in 1998 c) the three banks that are composed of government-owned banks whose operations mirror government policies.

(Sambandaraksa, 2007) Banks in Thailand were compelled to run along with the increasing integration of IT in providing the needs of their customers. The demand to use computer assisted facilities in the banks grew stronger with the entrance of the international banks that competes with the local banks. (Sambandaraksa, 2007) They could not allow themselves to be left behind and let these international banks dominate the banking industry.

While their competitors face higher branch investment and operating cost due to non-familiarity of the banking systems in the country, the local banks were able to cope up equipped with greater management skills for which allows them to introduce changes promptly into the market. (Sambandaraksa, 2007) The introduction of new services in various channels has not been very hard for the banking industries in Thailand. There was instantly a growing trend from personal banking to a more convenient banking system matched with electronic banking and better customer service.

According to Oracle’s financial services industry solution specialist director Andy Woodhouse, mergers and acquisitions in the financial services sector in Thailand had been very common even if it only composes three percent of the region’s capital. Woodhouse considers the banking industry in Thailand the true knowledge-based industry because it spends three to four times more on IT as compared to the manufacturing industry.

Even its local banks are more than eager to upgrade their IT systems to fend off the competition from foreign banks and demand agility and flexibility to meet customer and regulatory demands. (Sambandaraksa, 2007) Thai banking structure did not just shift into an IT based banking. Banking automation changed from mass automation into smart automation such that it used the improvements in information and communications technology to enable the banking community to launch new types of financial services like electronic banking services and mobile banking services.

(Wonglimpiyarat, n. d. ) On the other hand, based on the research study conducted in 2001, there is still a need for the banking industry to strengthen their IT systems to enhance differentiated that would also strengthen their competitiveness to not just satisfy the needs of their customers but exceed their expectations. The major problems that resulted in the survey enumerated the following problems: staff (36%); IT systems and equipment (21%); customer behaviour (17%); communication and cooperation (14%); work process (7%); other problems (5%).

(Sambandaraksa, 2007) Aware of such problems, banks should be able to understand the competitive situation by monitoring one another. This allows them to analyze the trends in the industry and make the necessary moves in order to level up with other banks. With the unstable Thai economy, banks need to analyze and track other factors that might affect its structure. Factors such as the demographic and social changes, and law and regulations must be taken into consideration in creating technological strategies and moves to compete with global market.

(Sambandaraksa, 2007) There is also a need for the banks to look into its staff their level of knowledge to the technology being used. Although this may seem a bit funny and odd, these things still happen. As much as banks need to educate its customers the benefits, limitations and reliability of the services that they offer, the management also needs to train extensively its employees the scope of the service in order strengthen the integrity of the bank and the service as well. (Sambandaraksa, 2007)

Because of the value given by the banking industry into the needs of their customers, as well as their preferences and attitudes toward technological shifts in the mode of service delivery, technological innovation in Thailand is not revolutionary but evolutionary. (Wonglimpiyarat, n. d. ) Banks study the market situation with care and introduce new technologies gradually until customers get used to the process and aim for a far better quality that may still include the use of IT in its delivery.

References: Cudi, P. 2006.

Five Emerging Trends Will Reshape the Global Banking in Next Decade: IBM Study. Retrieved from http://planetinternet. wordpress. com/2006/04/10/five-emerging-trends-will-reshape-global-banking-in-next-decade-ibm-study/ on November 16, 2007. Ghaziri, Hassan. 1998. Information technology in the banking sector : opportunities, threats and strategies. American University of Beirut. Retrieved from http://ddc. aub. edu. lb/projects/business/it-banking. html on October 11, 2007. Katz, J. & Jordan J. 1999. Banking in the Age of Information Technology.

Regional Review. Retrieved from http://www. bos. frb. org/economic/nerr/rr1999/q4/katz99_4. htm on October 11, 2007. Sambandaraksa, D. 2007. Thai banking sector spearheading IT. Bangkok Post. Retrieved from http://www. zdnetasia. com/news/business/0,39044229,62018507,00. htm on October 11, 2007 Wonglimpiyarat, J. n. d. Banking technology, technological learning and competition: comparative case studies in Thai banking. Retrieved from http://www. innovation-enterprise. com/7. 4/7. 4. 5. html on October 11, 2007.

Chuddar, Coordinator of ABA program, for roving me the golden opportunity to do the internship at Citizen’s Bank International Limited Gorham Branch, as per the requirement for the course of ABA. I would like to appreciate Mr.. Susan Ham, Branch Manager of CIVIL, Gorham Branch for providing environment for doing the work as assigned us. Similarly, I would like to express a deep sense of gratitude to Mr.. Shamble Kari, Office in Charge for monitoring our work in the bank. I would like to indebted thank for Pippin Pouted, Credit and Marketing Officer for providing the overview of loan process and marketing.

At the same time I would like o sincerely thank to Mr.. Argue Sahara Junior Assistance of CIVIL Gorham who has facilitated us for working properly in the SD. He taught us how to deal with the customers and develop the level of confidence in front of others similarly I would like to appreciate Mr.. Shill Poker, Trainee Assistance for providing us the experience about the teller cash management in the bank. Finally I would like to express thank for all the staff of the CIVIL Gorham Branch for behaving very friendly and we are treated like the family of the bank.

Violator International college Is running ABA since U Tort ten TLS tell In M esters region. Established by the exe-British Army which is running Gorky International Higher Secondary School in Gorham and Gorky Public in Tulips Dang. The Gorky Education group is working in various sectors like as Health and Education Sector Successfully from past years. Victoria International College is affiliated by Pokka University and running three batches in Gorham Aloha’s Dang and is also in process of recruiting the fourth batches. Pokka University has made the course of internship in 6th semester for the degree of ABA.

For the period of 2 months I was placed in the CIVIL Gorham Branch. This report includes the activities performed at the cash department. This section includes the details of the cash receipt, cash payment, mobile bill payment, ABS, queue clearance, etc. The report also includes the experience gained in marketing for the bank and the problems encountered during the internship period. This report has been prepared by self observation and the collection of secondary reports. The CIVIL Gorham has greatly captured its target market. At the starting it was very weak and now it is being very strong performer bank of Gorham.

It is increasing its customer day by day. The customers are also satisfied by the service provided by the bank. Its deposit and lending is also in increasing tendency. For financial institution the earning is the deviation between the deposit interest to be paid and the interest earned by lending, and those incomes which generates from the operational activities (The charge for cheeses, ATM issuance, SMS banking, ABS Charges, Money Transfer Charge, etc) Increasing of lending is also not good for bank due to the risk of collection. So the bank is able to collect almost interest of the lending which is very good indicators for bank.

It is that name which you can give your card at the setup settings. This function is for those people who have several bank accounts, and it is easier for them to remember nicknames (such as Mike’s card, Card for Shopping, etc.) than long numbers.

Direct marketing Is selling product directly to the consumer or end-user, rather than through a broker, distributor or wholesaler. Example: Sometimes confusing the matter, direct marketing is also used to describe the sale of food directly to a restaurant, grocery store, caterer, processor, etc. , who will then resell the food to customers. 2. Identify the major forms of direct marketing and the techniques they employ to target customers. Use the template provided below to explain the different techniques each major form uses to target customers. Major forms of direct marketing differentiated in terms of techniques:

Forms of direct marketing Target markets: Techniques used to target customers: Face-to-face selling Residential area, People who like to visit in market. Malls, all age group Promotion, door-to-door service, direct approach, offering samples Direct mail Adults & older Post, courier, sent mail Catalogue Sending, attractive image of products, special offer, brief description of product Telemarketing Land line phone holder Special offer, brief description of product, Calling to landlines Print Adults, older & retired people Flier, newspaper, posters, using famous person’s face

Direct-response television advertising House wife, retired people stabilize people Saving offer, free home delivery, short time offer, Free call on television advertisement like 0800 On-line Internet user Through the video presentation, Website, social network like Faceable, twitter Mobile technology All age people Mobile APS, social network, text 3. Choose a business you know well or a case study of a business which uses direct marketing e. G. Cafe using Faceable, Salesrooms, a business which uses Trade, Auckland Council, Family Planning, NZ Heart Foundation, CAB Bank, Anyway.

Describe it briefly. We have chosen CAB Bank. CAB Bank offers bank accounts, personal and home loans, savvier, investments, foreign exchange, insurance, internet banking, credit cards and online banking. 4. Identify one growth direct marketing trend that your chosen business uses e. G online marketing, telemarketing, face-to-face, social networking, direct mail. Refer to this trend and the case study you have chosen in your assignment and presentation. The growth of direct marketing trend of CAB Bank offers direct mail service to their customers, online banking or internet banking.

They send mail or letter on their postal address to inform about their account and investment. Regularly (once in a month) they send the user bank account statement to their customers. Have chosen? Give 3 benefits for buyers and 3 benefits for sellers. Answer for buyers: Availability of credit. Privacy Time saving Interactivity. Benefits for seller are: Target market selectivity. Ability to build customer relationship. Ability to maintain privacy of marketing programs. Convenience Time saving. – Benefits 6. What are the ethical issues or public policy issues for the direct marketing trend you have chosen?

Give 3 examples of ethical issues or public policy issues. Answer- There is four ethical issues that CAB Bank should keep in mind while using direct mail marketing methods: Payment security- Bank must have a very tight security system because in our society there are so many high professional hacker who can do something wrong by take out money from the customers account. Spamming: Bank should make conversation with the customers while someone (customers) doing big amount transaction or send them e-mail regarding their accounts information.

Terms and conditions-Bank should tell their customer about terms and conditions of ann. before opening a new account regarding how much they have to pay credit card interest rate and in how many days customers have to pay funds to them, how much transaction takes time. Agreements and contracts-Banks should send all copies of all relevant documents, agreements, contracts and advice of legal rights on the customer’s postal address. 7. Explain the use of digital technology and databases for your direct marketing trend.

Answer- CAB bank use digital technology and database for direct marketing trend as in following ways- Digital technology database in direct mail CAB bank uses New Zealand post database to find new customers with quality data including names and addresses as well as new market. CAB advertising in their own website. CAB bank mainly target people of every age group like students, working people, unemployed, and old age people. CAB bank update existing customers database. CAB bank provides several loans to customers such as Business loan, Home loan, Car loan etc. At low interest rates.

They offers online and internet banking as well. 8. Thinking about digital technology and databases explain how your direct marketing trend fits into marketing mix strategies. Talk about price, promotion, product, people and distribution. Answer: People- CAB target every age people like students, working people, employment, old age people. But they mainly target the people of age group 28-35 because most of on Youth, advertising on the back of bus, at bus stands and we can see big poster on roads. Product- CAB bank provide 100% home loan on low interest rate to customers.

Credit cards on low interest rates, debit cards. 9. What products or services are offered by your case study business using the direct marketing trend you have identified in question 4? Analyses the pricing of these rodents – are the prices competitive? Answer- CAB bank offers 100% home loan on low interest rate to customers. Credit cards on low interest rates, debit cards. Competitors of CAB bank are ANZA bank, WESTWARD, and BENZ bank. The prices are very competitive because every bank wants to attract customers by providing loans on very cheap rates and on low interest rates.

Fixed Homes lone BANKS For 12 months For 24 months CAB sank 5. 15% 5. 70% ANZA sank 5. 19% 5. 95% So we can see that CAB bank provide home loans on cheap rates. 10. Describe the segments of the market which are targeted by your direct marketing rend. Explain how different types of promotion are targeted to different markets. (Single segments, multiple segments and aggregate) Answer- CAB bank uses single segment marketing and mainly targets and motivate people of specific age group of 28-35 because their earnings are higher than others and most of the people of this age group are working.

CAB Bank offers direct mail service to their customers. They provide all useful information to motivate them in the mail. CAB Bank also provides 100% loans to their customers at cheap interest rate than other competitors in the market. They provide latest or up to date useful information on their website and they update website continuously. They advertise on social network like Faceable, Twitter, Youth because usually young generations use this social website. 1 1 . What level of service would you recommend for these target markets?

How will this service build and maintain customer relations? Answer- CAB bank provide 100% loan to customers for their satisfaction and they give proper information about their services and terms and conditions so that they can make a good relationship with their customers and finally CAB bank have a good reputation in the market. According to us, to attract more customers the service should be very fast, provide 100% security to the customers, prices should be lower than other competitors.

CAB Bank build and maintain their customers by hiring more staff so that customers get fast developers and it specialists who can concentrate on security because these are the components with they can get customer loyalty. 12. Explain how products or services advertised by your direct marketing trend are distributed to the target market. Answer – CAB bank have good reputation in the market because they advertise about their services in many different ways: They advertise on social networks to young generation on Faceable, Twitter, Youth etc because mainly young use these social websites.

CAB Bank advertisement on buses, bus stops and big poster on the roads. CAB bank updates their own website about their services. CAB bank advertise on shops according to the community of people like Indian, Chinese, Maori people etc. CAB bank offer direct mail services to the customers. CAB bank sent account information to their customers once in a month to keep them update or aware about their bank transactions CAB provide loans to customers at cheap interest rate than others in the market. BANKS

Abstract: This study aims to understand customers’ perceptions of adoption and awareness of electronic banking in Pakistan. The outcomes would help the policymakers to develop effective strategies for the future outlook of electronic banking in a country. The results suggest that banks’ customers in Pakistan perceive electronic banking as a tool for minimizing inconvenience, minimizing the risk of carrying cash, and time-saving. Customers further believe that electronic banking increases the chances of government access to public data increase chances of fraud and data losses.

It reduces cost and saves precious time. There are also some limitations of e-banking as it requires skills to operate it and passwords can be hacked. This research paper discussed that the people of Pakistan are well aware of electronic banking but they are not satisfied with the services provided by the bank and they also feel risk in that service that’s why they trust more on employees. It contains different demographics and their association with research questions. The results conclude that various customer segments do not differ in opinions towards the benefits and risks associated with e-banking.

This paper also includes recommendations in which it describes that what strategies the banks should choose to increase the satisfaction of customers Keywords: electronic banking; e-banking; customers’ perception; adoption; Pakistan, e-banking in Pakistan, e-banking, SMS banking, ATM

Introduction

The developments taking place in information and communication technology are increasing competition in financial institutions worldwide. The development of electronic distribution channels in the financial industry has completely transformed the traditional bank-customer relationship in recent years.

It has reduced personal contacts between the service providers and the customers (Barnes and Howlett, 1998). The scenario is further changed with increased competition among banks and non-bank financial institutions (Zineldin, 1996). Thus an enhanced understanding of why some people adopt one distributional channel and others do not, alongside the identification of the factors that may influence this decision is vital to investigate (Patricio, 2003). Thus, the deployment of advanced technologies is essential to achieve a competitive edge.

In the world of banking, the development of information technology has an enormous effect on the development of more flexible payment methods and more-user friendly banking services. Recently, the banking industry was highly affected by the technology evolution that transformed the way banks deliver their services, using technologies such as automated teller machines, phones, the Internet, credit cards, and electronic cash. In line with global trends, electronic banking in Pakistan has been undergoing many changes.

Electronic banking is a term for the process by which a customer may perform banking transactions electronically without visiting a brick-and-mortar institution. Electronic banking refers to systems that enable bank customers to access accounts and general information on bank products and services through a personal computer (PC) or another intelligent device. There are many benefits of e-banking as it provides an easy way to monitor an account, we can shop, pay bills, buy items at auction, and transfer money from anywhere at any time, it reduces costs, saves time, and vice versa.

Objectives

This study focuses on the awareness and adoption of electronic banking in Pakistan. Our objectives of this research were to:

1. Check awareness of electronic banking in Pakistan.
2. Check why people are not aware of electronic banking.
3. Know if the people are aware of electronic banking then to how much extent.
4. Check whether banks of Pakistan are providing electronic banking or not.
5. To find the critical attributes that customers expect important while using electronic banking.
6. To find the key variables that affect customers’ evaluations towards risk associated with electronic banking.
7. To understand the relationship between demographic characteristics of customers and their perceptions towards electronic banking.
8. To present results and implications which are insightful to researchers and banks interested in electronic banking.

This research is important because it tells bankers that how much people in Pakistan are aware of and adopt electronic banking and to how much extend. It also tells them to improve their e-banking services in Pakistan.

Electronic banking in Pakistan State-owned banks dominated the Pakistani financial market before 1990. The government introduced economic liberalization policies in 1991 when two smaller banks, Muslim Commercial Bank and Allied Bank were privatized. Since then, the government has continuously advocated the privatization of existing state-owned enterprises and encouraged the private and foreign banks to set up their businesses in the country. The recent acquisition of locally owned Union Bank by Standard Chartered Bank indicates foreign interest in the domestic financial market.

According to the State Bank of Pakistan (SBP) annual report (2005), there were 35 commercial banks, including 16 private banks (with 797 branches), 11 foreign banks (with 82 branches), 4 privatized banks (with 4,141 branches), and 4 public banks (with 1,543 branches), respectively. Electronic banking is an innovation in the series of technological wonders. Automated teller machine (ATM), telephone banking, internet banking, credit cards, and debit cards, etc. have emerged as effective delivery channels for traditional banking products.

In Pakistan, foreign banks took a lead by introducing ATM and credit cards in the mid-1990s followed by domestic banks in the late 1990s. Annual Report of SBP (2003, p. 110) explained this delay in electronic banking largely by regulatory hurdles, higher startup costs, ongoing banking sector reforms, and lack of technical skills. The government also introduced the Electronic Transaction Ordinance in 2002. This ordinance provides legal recognition to digital signatures and documentation. Thus reducing the risks associated with the use of an electronic medium of business.

At present, almost all commercial banks in Pakistan have set up their ATM networks, issuing debit and credit cards and have joined one of the two operating ATM Switch Networks. According to Kolachi (2006), Pakistani banks provide the following online banking services and products.

1. Inquiry, account statement inquiry, account balance inquiry, check statement inquiry, fixed deposit inquiry
2. Payment, funds transfer, credit card payments, direct payments, utility bills payments
3. Request, checkbook request, stop payment request, demand draft request, a new fixed deposit request
4. Download, customer profile, statement download, other information, and guidelines downloads.

Literature review Consumers’ perceptions towards the adoption of electronic banking have attracted many researchers in recent years. Thornton and White (2001) who compared seven distribution electronic channels available for banks in the US concluded that customers’ orientation such as convenience, service, technology change, knowledge about computing, and availability of internet affected the usage of different channels.

According to Hagel and Hewlin (1997), Internet banking became very attractive to customers and lots of banks because the technology is being accepted by them and they can now understand and have information about the complex products. Nowadays banks are also facing a lot of competition and need a high market share and provide better services to their customers so that they can attract new customers and old customers do not try to leave them. Howcroft et al. 2002) found that the most important factors that have encouraged consumers to use online banking are lower fees followed by reducing paperwork and human error which subsequently minimizes human disputes (Kiang et al. , 2000). Byers and Lederer, (2001 ) concluded that it was changing consumer attitudes rather than bank cost structures that determine the changes in distribution channels; they added that virtual banks can only be profitable when the segment that prefers electronic media is approximately twice the size of the segment preferring street banks.

A decrease in the percentage of customers visiting banks with an increase in alternative channels of distribution will also minimize the queues in branches (Thornton and White, 2001). Internet banking increases the power of the customers to make price comparison across suppliers quickly and easily, which subsequently pushes the price and margins downwards (Devlin, 1995). Although electronic banking provides many opportunities for the banks, it is also the case that the current banking services provided through Internet are limited due to security concerns, complexity, and technological problems (Sathye, 1999: Mols, 1999).

Risks associated with electronic banking Although the internet provides many opportunities for banks but it is the case that current banking services through the internet are limited due to security concerns, complexity, and technological problems (Mols, 1999; Sathye, 1999). Hewer and Howcroft (1999) referred to the term trust to measure risk. While Suganthi et al. (2001) viewed risk in the context of security concerns and risk in the context of trust in one’s bank. Finally, a number of studies also found trust and perceived risks have a significant positive influence on commitment (Bhattacherjee, 2002; Mukherjee and Nath, 2003) and ultimately leads towards overall satisfaction (Rexha et al. , 2003). The reputation of a service provider is another important factor affecting trust. Doney and Cannon (1997) defined reputation as the extent to which customers believe a supplier or service provider is honest and concern about its customers. Tyler and Stanley (1999) argued that banks can build a close and long-lasting relationships with customers only if trust, commitment, honesty, and cooperation are developed between them. Nancy et al. 2001) study found that customers complain about computer logon time which is usually longer than making a telephone call. Further, the respondents felt that they have to check and recheck the forms filled online, as they are worried about making mistakes. Frequent slow response time and delay of service delivery cause customers to be unsure about the completion of a transaction (Jun and Cai, 2001). Min and Galle (1999) found crashes in operating systems and disruption of information access as common factors related to an unwillingness to use internet channels for commerce.

Liao and Cheung (2002) found that individual expectations regarding the accuracy, security, transaction speed, user-friendliness, user involvement, and convenience are the most important attributes in the perceived usefulness of internet-based e-retail banking. Confidentiality of consumer data is another important concern in the adoption of online banking (Gerrad and Cunningham, 2003). Customers fear someone’s unlimited access to personal financial information. White and Nteli (2004) focused on why internet usage has not been increased in the UK as compared to internet usage for banking purposes?

Results found that the customers still have concerns about the security and safety aspects of the internet. Lack of internet accessibility and a provision of documentary evidence for all transactions are found important hurdles in the development of electronic banking in Thailand (Jaruwachirathanakul and Fink, 2005). Laforet and Li (2005) found that the habit of carrying cash, less accessibility of the internet, and documentary proof of financial transactions as important hurdles in adoption, in the case of China.

Lack of specific laws to govern internet banking is another important concern for users. It covers issues such as unfair and deceptive trade practices by the supplier, unauthorized access by hackers. Larpsiri et al. (2002) argued that it is not clear whether electronic documents and records are acceptable as sufficient evidence of transactions. Another issue is the jurisdiction of the courts and dispute resolution procedures in case of using the internet for commercial purposes. A dispute can arise from many issues. For instance, websites are not a branch of the bank.

It is difficult for the court to define the location of the branch and decide whether they have jurisdiction (Rotchanakitumnuai and Speece, 2003). Other risks associated with electronic banking are job losses, lack of opportunities to socialize, and the development of a lazy society were mentioned by (Black et al. , 2001). Demographic factors Gender alone is not a significant factor, affecting the adoption of technology in general (Gefen and Straub, 1997). However, Kolodinsk et al. (2004) found that married couples are more likely to adopt new technology than either single males or females.

Research has also linked the age and adoption of technology, as young people are more likely to adopt technology (Lee et al. , 2002). Maturity in population in terms of knowledge, confidence, and comfort in computer usage also increases influence towards online banking (Karjaluoto et al. , 2002). An increase in income and education have found positive effects on adoption (Lockett and Littler, 1997; Sarel and Marmorstein, 2003). Mattilia et al. (2003) indicated that young, educated and wealthy consumers are most likely to adopt internet banking in Finland.

Mature customers prefer personal service and a printed receipt of their transactions. Mature customers also perceive internet banking to be more costly than paying bills over the counter. Methodology The study was conducted in Lahore city which is the second-largest city of Pakistan and represents almost 20% of all branch’s networks. Branches for the survey were selected on a convenience basis but after the permission of respective branch managers. The survey covered both residential and commercial areas.

In this research data is conducted by using a questionnaire as a data collection instrument, in which questions were asked starting from their command on computer and internet usage, following with the awareness of electronic banking and its types, about the benefits of e-banking, and then some questions regarding their bank services and the security provided by these banks. The questionnaire includes close-ended questions and they were on a liker scale of utilizing a five-point categorical.

Empirical Results

There is a “table ” which shows gender-wise association with research questions

The table shows the different questions and their association with gender. The first question is about the awareness of electronic banking. Total respondents who answered this question were 396 in which 196 were male respondents and 200 were female respondents. Its result shows that awareness of electronic banking is dependent on gender.

The next question was answered by 385 total respondents from which the amount of male and female were 190 and 195 respectively. Its results show that providing e-banking services by banks was highly dependent on gender. The third one is about awareness of SMS banking which was answered by 196 male and 195 female respondents. Its result shows that awareness of SMS banking is also dependent on gender. Now the next question is about Internet banking awareness which was answered by 189 male respondents and 198 female respondents and its result shows that awareness of internet banking is dependent on gender.

The next question is about awareness of ATM card usage. A total of 391 respondents answered that question from which the amount of male and female were 193 and 198 respectively. It results show that awareness of ATM card usage is not dependent on gender. Now there is a question about Phone banking awareness so a total of 392 respondents answered that question from which 193 were male and 199 were female and its result shows that phone banking awareness is not dependent on gender.

Now the seventh question was asked by respondents about their satisfaction with e-banking services providing by their banks and a total of 390 answered that question and its result shows that satisfaction about e-banking services providing by banks depends on gender. Now there is the second the last question which was answered by 191 male and 195 female respondents and its result shows that satisfaction about the security of e-banking providing by banks is not depends on gender. The last question is about using e-banking service in the future and its results are highly dependent on gender.

Now there is a table which shows the description of the question, “Aware of electronic banking”. It shows the number of respondents from strongly disagree to strongly agree. The highest figures of people are agreed about the awareness of e-banking.

In male respondents, 64 agreed which is 33% of total male respondents. Likewise, in female respondents, 57 were agreeing about it which is 29% of total females.

In this table there is a demographic of education whose relationship with research questions is given in the above table.

The above table shows the relationship between research questions with age. In the first question, it is asked about command on the computer. This question was answered by a total of 391 respondents from which 91 respondents had age less than 19.

Villages (2010) states that as long as the principles of natural law- based on God’s law- are not violated, a country may adopt any form of government most appropriate to local conditions. I agree. Though different countries suffer any losses, still, they recover after all, with their different types of economic system and following the principles of natural law. Loss is an inevitable thing. Right technique or system must be used to solve it and gain achievements. In same manner, the government of South Africa experienced it too.

During the inflation, South Africa turns down. But because the government has he strength and perseverance to rise again, it produces a progressive country in the present. In which, I recognize the way the administration governs the society. People in the administration of South Africa serve as economists who think deeper for the better of the country. In like manner, this country plays a big role in the continent of Africa. As what I have researched states that is the economic powerhouse of the continent.

Using mixed market capitalistic economy system and with its high rate of Gross Domestic Product (GAP), it is obviously appreciable that South Africa intrigues a lot which provides helping hands for those trembling tummies suffer from famine. Wherein, despite of stated problem given in the article yet South Africans economy is growing strongly. In some other way, there is a country that from the start, its economic status really booms. By using the free market system or socialism plus good governance, this country puts a mark in the global industry. I appreciate how the government drags the rate of unemployed from 11% to 5%.

This simply explains how the administration runs the society in a good condition. For me, running a country is difficult but cause ordinary people and government coordinate, this country deserves to be rank in the first five developed countries in the world. Though there are different taxes being imputed, still, individual and businesses response in paying taxes. In addition, the country’s economic system speaks and acts through the years which help to develop the country. However, the said country is the Australia. It is been a good destination in Canada. Some of us wonder to be there. It is because this country has a stable community.

From the type of government being applied, Canada ranks by the “Economist” as the third most democratic nation in Democracy Index. Thru this, Canada surpasses their crisis during 2008 to 2009. Facing the consequences of financial crisis is tricky. Handling it may lose your control. But, the government of Canada is doing it prudently. Line with the market- oriented system, Canada becomes largest US foreign supplier of energy. This contributes to the financial status of Canada especially during the crisis. Hence, in my own perception, Canada emphasizes how individuals are important and also how a government balances in times of difficulties.

South Africa, Australia and Canada are an example of democratic government. These countries describe how a common type of government attains the stability of economy. Thus, these are Just only three of the top model countries in the world which you will really amaze how their economy work thru the years. My reflection on economic system By bearable Areola Street, Tag City Economic System and Type of Government of a Country Donna Sharks Legal’s Bachelor of Science in Accounting Technology In Partial Fulfillment of the Requirements In Economics 1 Proof.

Regis Aaron September 23, 2013 CANADA As a high-tech industrial society in the trillion-dollar class, Canada resembles the US n its market-oriented economic system, pattern of production, and affluent living standards. Since World War II, the impressive growth of the manufacturing, mining, and service sectors has transformed the nation from a largely rural economy into one primarily industrial and urban. The 1989 us-Canada Free Trade Agreement (FAT) and the 1994 North American Free Trade Agreement (NONFAT) (which includes Mexico) touched off a dramatic increase in trade and economic integration with the US its principal trading partner.

Canada enjoys a substantial trade surplus with the US, which absorbs about three-fourths of Canadian exports each year. Canada is the Use’s largest foreign supplier of energy, including oil, gas, uranium, and electric power. Given its great natural resources, highly skilled labor force, and modern capital plant, Canada enjoyed solid economic growth from 1993 through 2007. Buffeted by the global economic crisis, the economy dropped into a sharp recession in the final months of 2008, and Ottawa posted its first fiscal deficit in 2009 after 12 years of surplus.

Canada’s major banks, however, emerged from the financial crisis of 2008-09 among the strongest in the world, owing to the financial sector’s tradition of Roth in 2010-12 and plans to balance the budget by 2015. In addition, the country’s petroleum sector is rapidly becoming an even larger economic driver with Albertan oil sands significantly boosting Canada’s proven oil reserves, ranking the country third in the world behind Saudi Arabia and Venezuela. Political conditions Canada is considered by most sources to be a very stable democracy. In 2006 The Economist ranked Canada the third most democratic nation in its Democracy Index, head of all other nations in the Americas and ahead of every nation more populous than itself. In 2008, Canada was ranked World No. 11 and again ahead of all countries more populous and No. 1 for the Americas. (In 2008, the United States was ranked World No. 18, Uruguay World No. 23, and Costa Rica World No. 27. ). Free market is the main characteristics of the economic system of Australia. The growth of the economy of Australia is phenomenal and this country is among the first five developed countries of the world. The four main components of the Australian economic system are trade, manufacturing, services and finance. In the beginning of the 21st century the Australian government had taken a pledge to further reform its economy. The standard of living of Australia has risen significantly in the last fifteen years and it is Just below United States now.

Industrialization, private enterprises, large scale productions, high technology and natural resources are Australian economic system. Small businesses also play an important role in the economy of this country. The unemployment rate in this country peaks for its developing economy as 11% unemployment rate in 1992 has come down to Just 5%. The growth of the Australian economy began in the middle of the 19th century with woolen industry and the gold rush. The gold rush was also responsible for the population growth of the country which was very much needed by Australia at that point of time.

The second phase of economic boom began during the Second World War and it continued till 1970. The fundamentals of the Australian economy were further changed at the beginning of the new millennium. A new improved tax system was started which was favorable OTOH for the individual and the businesses. The government is also striving towards building a more adaptable labor market and augmenting the living standards. Some major business sectors are also partially privatized. In the first decade of the new millennium it is expected that the growth would be around 3. %. One of the most moved past United States. The integral part of the economic system of Australia is the Australian Securities Exchange or ASS. The name of Australian Stock exchange was changed to Australian Securities Exchange only in December 2006. This stock market trades from 10 in the ironing to 4 in the afternoon. Taxation in Australia can be divided mainly in to two parts, federal taxation and state taxation. The taxes are not uniform all through out the country. The most important of all the taxes are income tax and business tax.

Apart from these two taxes there are taxes like Goods and Services tax, Social Security Levy, Municipal tax, excise duties and Capital Gains tax. The main reason behind the phenomenal growth of the Australian economy is its stable government, healthy politics and huge natural resource. The knowledge based industries has evolved as another factor which has undistributed to the exceptional growth of this country currently. At least twenty five thousand Information Communication and Technology companies are present in Australia currently.

International trade both export and import has contributed greatly to the development of the economy. SOUTH AFRICA South Africa is a regular mixed market capitalistic economy system and is the economic powerhouse of Africa, with a gross domestic product (GAP) four times that of its southern African neighbors and comprising around 25% of the entire ointment’s GAP. The country leads the continent in industrial output (40% of total output) and mineral production (45%) and generates most of Africans electricity (over 50%).

Its major strengths include its physical and economic infrastructure, natural mineral and metal resources, a growing manufacturing sector, and strong growth potential in the tourism, higher value-added manufacturing and service industries. South African banking regulations rank with the best in the world. The sector has long been rated among the top 10 globally. There are 55 locally controlled banks, 12 reign-controlled banks and five mutual banks. Some of the world’s leading institutions have announced their intention to enter the local banking sector through mergers and acquisitions.

The SSE Limited is the 18th largest exchange in the world by market capitalization (some RE. 3-trillion as of September 2005). The See’s rules and their enforcement are based on global best practice, while the See’s automated trading, settlement, transfer and registration systems are the equal of any in the world. Four main metropolitan areas dominate economic activity within the country: Johannesburg and its surrounds (Sautéing province), the coastal Durban/Pimiento areas (Zulu-Natal), the Cape Peninsula (which includes Cape Town), and the Eastern Cape’s Port Elizabeth/Teenage area.

The financial and industrial sectors are concentrated in Sautéing province, which on its own accounts for over 30% of the country’s GAP. South Africans economy has been in an upward phase of the business cycle since September 1999 – the longest period of economic expansion in the June 2005 – the annual economic growth rate averaged 3. 5%. In the decade prior to 1994, economic growth averaged less than 1% a year. According to the South African Reserve Bank, there is no sign of this period of expansion coming to an end. Gross domestic product (GAP) growth was running at an annulled 4. % in the second quarter of 2005 (compared to 3. 7% in 2004 and 2. 8% in 2003). Consumer inflation has been on a downward trend since 2002, when consumer prices increased to an average 9. 3% following the September 11 tragedy in New York. Consumer inflation averaged 6. 8% in 2003 and 4. 3% in 2004 – compared to 9. 8% in 1994. At the same time, prudent fiscal management has seen South Africans budget deficit come down from 5. % of GAP in 1994 to 2. 3% of GAP in 2004. In the first quarter of 2005, this figure fell to 1. 6%, with the AS Revenue Service collecting nearly US$3. -billion more than expected. The source of the revenue windfall was not higher individual or corporate taxes – both have fallen since 1994 – but the performance of the economy, consumer confidence, and a dramatic increase in the number of registered taxpayers, from 2-million in 1994 to more than 5-million in 2004. Want more information on AS economy system.. Read on… The country leads the continent in industrial output (40% of total output) and mineral reduction (45%) and generates most of Africans electricity (over 50%).

Its major strengths include its physical and economic infrastructure, natural mineral and metal resources, a growing manufacturing sector, and strong growth potential in the tourism, higher value-added manufacturing and service industries. South African banking regulations rank with the best in the world. The sector has long been rated among the top 10 globally. There are 55 locally controlled banks, 12 foreign- controlled banks and five mutual banks. Some of the world’s leading institutions have announced their intention to enter the local banking sector through mergers and acquisitions.

A decade of comprehensive institutional reform and sound economic management have also been rewarded with solid credit ratings, implying less risk for investors and cutting the cost of capital for the country’s public and private sector borrowers. In August 2005, Standard & Poor’s raised South Africans long-term foreign currency credit rating, citing the country’s improved economic stability, reduced vulnerability to external shocks, a moderate debt burden, and strong and stable political institutions.

The agency upgraded SAC’S long-term foreign currency sovereign rating from EBB to EBB+ – equal to that of Poland and Thailand, and a notch above Mexico – and the local currency rating from A to A+. The International Monetary Fund (MIFF), in its 2005 annual country assessment, commends South Africans authorities for the remarkable economic progress achieved since democracy in 1994. “The economy is now growing strongly, inflation has been lowered and has become more predictable, public finances have been strengthened, and the external position has improved markedly,” the MIFF said.

The expansion in economic activity has created additional Jobs. At the same time, the Miff’s directors noted that serious economic challenges remain: persistent high unemployment, poverty, large wealth disparities and a high incidence of Widths. But they came out in support of the AS authorities’ approach to these problems, with policies aimed at unemployment and improve social conditions. The MIFF said this strategy could be bolstered by labor market reforms and further trade liberation’s. Key to overcoming the challenges identified by the MIFF will be the economic integration

How people getting richer impacted the accounting proffession and accountants.

Over the last few hundred years the world saw the rise and evolution of the accounting profession, a profession that was greatly impacted by the increase in personal wealth of people, particularly during the industrial revolution. In the begining (i.e. the rennaissance era) merchants and explorers would have made use of a very basic book keeping system made up of log books of sorts, this system was brought about due to the rising importance of keeping track of ones wealth, something which through the ages has become a significant part of any economy.

During the early 19th century the world saw the start of the first industrial revolution, which also sparked a rise in the capatalistic economy, which in turn gave rise to a significant increase in the wealth of people. With this new wealth many people could now expand their businesses and start new ventures, and so the application of accountiung had to evolve in order to accomadate these new ventures.Thus we saw the creation of manufacturing accounting principles and capital investment principles. Many people with large surplus capital started Banks which would allow for business owners to safely put their money away and earn interest on them, so at this point different forms of banks and banking policies were created in order to compete within the ‘money market’.

One such policy, was that of being able to take out a loan from the bank, which further expanded into businesses making use of a credit sales system. This was a very unsafe way of buying and selling goods particularly between international borders, and so international standards had to be created in order for fair reporting and trade to take place. Accountants took on this responsibility and made many new advancements in recording and presenting credit and debit accounts. After a while it was quite clear as to how important the accounting profession was to any business environment. Read also research proposal on Forensic Accounting

Because of this, the practice of accounting became a formal profesion, poeple could now study it at a basic level at school and then on a more advanced level at University. People would then hire these accountants who would then keep records of where ones money is being spent, how its being spent and when its being spent, along with where money is coming from and how much. As capital investment opportunities grew, many people wanted to ensure that they made the right choice as to where the should invest their money, accountants were relied upon to provide this information, which included gathering of information on the current amount of money available to the investor, how much risk is involved and predicted returns on those investment opportunities.

At the same time they would be recording the financial obligations of their “client” and how those obligations could be met. Apart from helping a business grow and expand, accountants also being the ambassadors of moral and ethical business practices, ensuring that exploitation and other deciets were kept at bay. Thus in the 1990s the King report, which provided the the business world with a guide to good corporate governance, was created and fused with current accounting practices. In this code of conduct a section of it made it clear that rich businesses, infact any business, must promote the wellbeing of its community and to protect the poor.

The growing of the rich had a great impact on the accounting practice and gave the accounting profession its significant role in the effieciency of any business and economic environment. As such they require many important skills in order to ensure the maintaining of the rich’s wealth and the growth and stimulation of the poor, which is why businesses will now pay their dearly beloved accountants high salaries, as the rich depend greatly on their men and women which we call accountants.

However, this is not yet the end of the road, as people grow richer so will their ambitions, therefore requiring the further evolution of the accounting profession in the future.