A Research Report Submitted to School of Business in Partial fulfillment of the Requirements for Award of the Master of Business Administration (MBA-CM) of Mzumbe University
Retail Banks in Tanzania have implemented Mobile banking (M-banking) services in order to provide convenient and affordable banking service. The engagement of mobile banking as financial innovation has encouraged many banks to invest in this technology in the view to enhance customer satisfaction, reduce their complaints and increase revenue. However, there has been growing concern that their effort may not bring much result if the factors influencing adoption of M-banking technology are not established. This study therefore focused on determining the factors influencing adoption of M-banking in Tanzania especially NMB bank Ifakara by extending the renowned Unified Theory of Acceptance and Use of Technology (UTAUT).
129 respondents were conveniently engaged among NMB bank customers and NMB staff. Data were analysed using descriptive statistics and inferential statistics through regression analysis. Results show that performance expectance had significantly influenced adoption of M-banking at P= 0.000 compatibility level of significance and that individual would adopt mobile banking service based on performance expectancy provided that the service would be compatible. Researcher recommends retail banks appropriately deal with issues of innovation of M-banking products, knowledge acquisition to their customers and make the mobile banking compatible to users‘ life styles.