Barriers toward Adoption of Mobile Payment in Pakistan

Abstract

The main aim of this work is find out main barriers toward adoption of mobile Payment in Pakistan. For this innovative resistance model is adopted with some changes. Adoption intention is used as dependent variable whereas Usage barrier, value barrier, Risk barrier, traditional barrier and image barrier are used as independent variables. The primary data were collected through close-ended questionnaire based on five-point Likert-type scale. Responses of 738 people were taken through online survey with the help of Google document from the cities of Hyderabad and Karachi (Pakistan). Initially to overview the data, respondents’ profile and descriptive analysis are stated. Furthermore, that normality (Skewness and Kurtosis) and reliability (Cronbach’s Alpha) tests are employed to check the quality and usability of data. Test of VIF is conducted to check the problem of multicollinearity. Finally, multiple regression analyses are employed. The result of this study showed that there is negative and significance relation of risk barrier and traditional barrier with adoption intention of consumers in Pakistan where as other three barriers usage, value and image found insignificant. Therefore, the service providers and other related authorities must cope with these barriers in order to increase the mobile payment services in Pakistan.