A multigroup analysis of gender in adopting Fintech services in Indonesia
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Abstract
The proliferation of technology, coupled with a substantial population of smartphone users, is revolutionizing how people access financial services in Indonesia. This study investigates the driving factors behind the adoption of Fintech among users in Indonesia by employing an extended Unified Theory of Acceptance and Use of Technology (UTAUT) model integrated with digital financial literacy. Furthermore, this study also evaluates the differences between male and female respondents in adopting Fintech services. This research, which gathered data from 228 participants and analyzed it using Partial Least Square Structural Equation Modeling (PLS-SEM), found that performance expectancy is the primary factor influencing behavioral intention in Indonesia. Use behavior plays a significant role in affecting continuance intention. Furthermore, notable differences were identified between men and women regarding the correlation between performance expectancy and behavioral intention. These findings have implications for Fintech business providers in designing effective strategies aimed at increasing access to financial services and promoting financial inclusion in Indonesia. For policymakers, performing a multi-group analysis on gender and technology adoption is consistent with the United Nations Sustainable Development Goal (UNSDG) number 5, which aims to promote gender equality
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How to Cite
Setiawan, B. (2024). A multigroup analysis of gender in adopting Fintech services in Indonesia. Enrichment : Journal of Management, 14(2), 238-248. https://doi.org/10.35335/enrichment.v14i2.1891
References
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Bervell, B., Kumar, J. A., Arkorful, V., Agyapong, E. M., & Osman, S. (2022). Remodelling the role of facilitating conditions for Google Classroom acceptance: A revision of UTAUT2. Australasian Journal of Educational Technology, 38(1), 115–135. https://doi.org/10.14742/ajet.7178
Cheah, J. H., Thurasamy, R., Memon, M. A., Chuah, F., & Ting, H. (2020). Multigroup analysis using smartpls: Step-by-step guidelines for business research. Asian Journal of Business Research, 10(3), I–XIX. https://doi.org/10.14707/ajbr.200087
Cohen, L., Manion, L. & Morrison, K. (2018). Research Method in Education (8th Edition). New York. Routledge.
Global Financial Index. (2022). The Global Findex Database 2021: Financial Inclusion, Digital Payments, and Resilience in the Age of Covid-19. Available online: https://www.worldbank.org/en/publication/globalfindex (accessed on 27 January 2024)
Hair, J., & Alamer, A. (2022). Partial Least Squares Structural Equation Modeling (PLSSEM) in second language and education research: Guidelines using an applied example. Research Methods in Applied Linguistics, 1(3), 100027. https://doi.org/10.1016/j.rmal.2022.100027
Hassan, M. S., Islam, M. A., Yusof, M. F. bin, Nasir, H., & Huda, N. (2023). Investigating the Determinants of Islamic Mobile FinTech Service Acceptance: A Modified UTAUT2 Approach. Risks, 11(2). https://doi.org/10.3390/risks11020040
Ho, J. C., Wu, C. G., Lee, C. S., & Pham, T. T. T. (2020). Factors affecting the behavioral intention to adopt mobile banking: An international comparison. Technology in Society, 63(December 2019), 101360. https://doi.org/10.1016/j.techsoc.2020.101360
Igamo, A. M., Rachmat, R. Al, Siregar, M. I., Gariba, M. I., Cherono, V., Wahyuni, A. S., & Setiawan, B. (2024). Factors influencing Fintech adoption for women in the post-Covid-19 pandemic. Journal of Open Innovation: Technology, Market, and Complexity, 10(1), 100236. https://doi.org/10.1016/j.joitmc.2024.100236
Kang, W., Shao, B., & Chen, H. (2022). What influences users’ continuance intention of internet wealth management services? A perspective from network externalities and herding. In Electronic Commerce Research (Issue 0123456789). Springer US. https://doi.org/10.1007/s10660-022-09580-6
Koranteng, B., & You, K. (2024). Fintech and financial stability: Evidence from spatial analysis for 25 countries. Journal of International Financial Markets, Institutions and Money, 93(September 2023), 102002. https://doi.org/10.1016/j.intfin.2024.102002
Merhi, M., Hone, K., & Tarhini, A. (2019). A cross-cultural study of the intention to use mobile banking between Lebanese and British consumers: Extending UTAUT2 with security, privacy and trust. Technology in Society, 59(January), 101151. https://doi.org/10.1016/j.techsoc.2019.101151
Nathan, R. J., Setiawan, B., & Quynh, M. N. (2022). Fintech and financial health in Vietnam during the COVID-19 pandemic: In-depth descriptive analysis. Journal of Risk and Financial Management, 15(3), 125.
Oanh, T. T. K. (2024). Digital financial inclusion in the context of financial development: Environmental destruction or the driving force for technological advancement. Borsa Istanbul Review, 24(2), 292–303. https://doi.org/10.1016/j.bir.2024.01.003
Odei-appiah, S., Wiredu, G., & Adjei, J. (2021). Fintech Use, Digital Divide and Financial Inclusion. African Conference on Information Systems and Technology, 0–12.
OJK. (2024). The Financial Services Sector Stability Remained Resilient Amidst Global Economic Uncertainty. Retrieved online from https://ojk.go.id/en/berita-dan-kegiatan/siaran-pers/Pages/The-Financial-Services-Sector-Stability-Remained-Resilient-Amidst-Global-Economic-Uncertainty.aspx (accessed on 18 May 2024)
Sekaran, U. & Bougie, R. (2016). Research Methods for Business: A Skill-Building Approach (7th Edition). Hoboken, NJ: John Wiley & Sons, Inc
Senyo, P. K., & Osabutey, E. L. C. (2020). Unearthing antecedents to financial inclusion through FinTech innovations. Technovation, 98(March), 102155. https://doi.org/10.1016/j.technovation.2020.102155
Setiawan, B., Phan, T. D., Medina, J., Wieriks, M., Nathan, R. J., & Fekete-Farkas, M. (2023). Quest for financial inclusion via digital financial services (Fintech) during COVID-19 pandemic: case study of women in Indonesia. Journal of Financial Services Marketing, 0123456789. https://doi.org/10.1057/s41264-023-00217-9
Sharma, A., Mohan, A., Johri, A., & Asif, M. (2024). Determinants of fintech adoption in agrarian economy: Study of UTAUT extension model in reference to developing economies. Journal of Open Innovation: Technology, Market, and Complexity, 10(2), 100273. https://doi.org/10.1016/j.joitmc.2024.100273
World Bank. (2023). GDP Growth (annual %). Retrieved online from https://data.worldbank.org/indicator/NY.GDP.MKTP.KD.ZG (accessed on 14 May 2024)
Xie, J., Ye, L., Huang, W., & Ye, M. (2021). Understanding fintech platform adoption: Impacts of perceived value and perceived risk. Journal of Theoretical and Applied Electronic Commerce Research, 16(5), 1893–1911. https://doi.org/10.3390/jtaer16050106
Younas, Z. I., Qureshi, A., & Al-Faryan, M. A. S. (2022). Financial inclusion, the shadow economy and economic growth in developing economies. Structural Change and Economic Dynamics, 62, 613–621. https://doi.org/10.1016/j.strueco.2022.03.011
Zarifis, A., & Cheng, X. (2022). A model of trust in Fintech and trust in Insurtech: How Artificial Intelligence and the context influence it. Journal of Behavioral and Experimental Finance, 36, 100739. https://doi.org/10.1016/j.jbef.2022.100739
Bervell, B., Kumar, J. A., Arkorful, V., Agyapong, E. M., & Osman, S. (2022). Remodelling the role of facilitating conditions for Google Classroom acceptance: A revision of UTAUT2. Australasian Journal of Educational Technology, 38(1), 115–135. https://doi.org/10.14742/ajet.7178
Cheah, J. H., Thurasamy, R., Memon, M. A., Chuah, F., & Ting, H. (2020). Multigroup analysis using smartpls: Step-by-step guidelines for business research. Asian Journal of Business Research, 10(3), I–XIX. https://doi.org/10.14707/ajbr.200087
Cohen, L., Manion, L. & Morrison, K. (2018). Research Method in Education (8th Edition). New York. Routledge.
Global Financial Index. (2022). The Global Findex Database 2021: Financial Inclusion, Digital Payments, and Resilience in the Age of Covid-19. Available online: https://www.worldbank.org/en/publication/globalfindex (accessed on 27 January 2024)
Hair, J., & Alamer, A. (2022). Partial Least Squares Structural Equation Modeling (PLSSEM) in second language and education research: Guidelines using an applied example. Research Methods in Applied Linguistics, 1(3), 100027. https://doi.org/10.1016/j.rmal.2022.100027
Hassan, M. S., Islam, M. A., Yusof, M. F. bin, Nasir, H., & Huda, N. (2023). Investigating the Determinants of Islamic Mobile FinTech Service Acceptance: A Modified UTAUT2 Approach. Risks, 11(2). https://doi.org/10.3390/risks11020040
Ho, J. C., Wu, C. G., Lee, C. S., & Pham, T. T. T. (2020). Factors affecting the behavioral intention to adopt mobile banking: An international comparison. Technology in Society, 63(December 2019), 101360. https://doi.org/10.1016/j.techsoc.2020.101360
Igamo, A. M., Rachmat, R. Al, Siregar, M. I., Gariba, M. I., Cherono, V., Wahyuni, A. S., & Setiawan, B. (2024). Factors influencing Fintech adoption for women in the post-Covid-19 pandemic. Journal of Open Innovation: Technology, Market, and Complexity, 10(1), 100236. https://doi.org/10.1016/j.joitmc.2024.100236
Kang, W., Shao, B., & Chen, H. (2022). What influences users’ continuance intention of internet wealth management services? A perspective from network externalities and herding. In Electronic Commerce Research (Issue 0123456789). Springer US. https://doi.org/10.1007/s10660-022-09580-6
Koranteng, B., & You, K. (2024). Fintech and financial stability: Evidence from spatial analysis for 25 countries. Journal of International Financial Markets, Institutions and Money, 93(September 2023), 102002. https://doi.org/10.1016/j.intfin.2024.102002
Merhi, M., Hone, K., & Tarhini, A. (2019). A cross-cultural study of the intention to use mobile banking between Lebanese and British consumers: Extending UTAUT2 with security, privacy and trust. Technology in Society, 59(January), 101151. https://doi.org/10.1016/j.techsoc.2019.101151
Nathan, R. J., Setiawan, B., & Quynh, M. N. (2022). Fintech and financial health in Vietnam during the COVID-19 pandemic: In-depth descriptive analysis. Journal of Risk and Financial Management, 15(3), 125.
Oanh, T. T. K. (2024). Digital financial inclusion in the context of financial development: Environmental destruction or the driving force for technological advancement. Borsa Istanbul Review, 24(2), 292–303. https://doi.org/10.1016/j.bir.2024.01.003
Odei-appiah, S., Wiredu, G., & Adjei, J. (2021). Fintech Use, Digital Divide and Financial Inclusion. African Conference on Information Systems and Technology, 0–12.
OJK. (2024). The Financial Services Sector Stability Remained Resilient Amidst Global Economic Uncertainty. Retrieved online from https://ojk.go.id/en/berita-dan-kegiatan/siaran-pers/Pages/The-Financial-Services-Sector-Stability-Remained-Resilient-Amidst-Global-Economic-Uncertainty.aspx (accessed on 18 May 2024)
Sekaran, U. & Bougie, R. (2016). Research Methods for Business: A Skill-Building Approach (7th Edition). Hoboken, NJ: John Wiley & Sons, Inc
Senyo, P. K., & Osabutey, E. L. C. (2020). Unearthing antecedents to financial inclusion through FinTech innovations. Technovation, 98(March), 102155. https://doi.org/10.1016/j.technovation.2020.102155
Setiawan, B., Phan, T. D., Medina, J., Wieriks, M., Nathan, R. J., & Fekete-Farkas, M. (2023). Quest for financial inclusion via digital financial services (Fintech) during COVID-19 pandemic: case study of women in Indonesia. Journal of Financial Services Marketing, 0123456789. https://doi.org/10.1057/s41264-023-00217-9
Sharma, A., Mohan, A., Johri, A., & Asif, M. (2024). Determinants of fintech adoption in agrarian economy: Study of UTAUT extension model in reference to developing economies. Journal of Open Innovation: Technology, Market, and Complexity, 10(2), 100273. https://doi.org/10.1016/j.joitmc.2024.100273
World Bank. (2023). GDP Growth (annual %). Retrieved online from https://data.worldbank.org/indicator/NY.GDP.MKTP.KD.ZG (accessed on 14 May 2024)
Xie, J., Ye, L., Huang, W., & Ye, M. (2021). Understanding fintech platform adoption: Impacts of perceived value and perceived risk. Journal of Theoretical and Applied Electronic Commerce Research, 16(5), 1893–1911. https://doi.org/10.3390/jtaer16050106
Younas, Z. I., Qureshi, A., & Al-Faryan, M. A. S. (2022). Financial inclusion, the shadow economy and economic growth in developing economies. Structural Change and Economic Dynamics, 62, 613–621. https://doi.org/10.1016/j.strueco.2022.03.011
Zarifis, A., & Cheng, X. (2022). A model of trust in Fintech and trust in Insurtech: How Artificial Intelligence and the context influence it. Journal of Behavioral and Experimental Finance, 36, 100739. https://doi.org/10.1016/j.jbef.2022.100739