This paper presents major factors affecting the implementation of interest free banking services among customers in recognizing factors that need consideration in implimenting IFB service in Commercial Bank of Ethiopia, Addis Ababa, Ethiopia. It suggests the importance for bank providers to understand factors influencing implementation of IFB service, customers’ preference and view from the customers’ perspective, in order to attract and retain customers, as well as leop forward.
The empirical evidence shows that interest free banking have rapidly spreading and developing across the world. But almost half of Ethiopian banking commercial industry out of eithteen banks has commenced interest free banking service within less than three years while some others banks are also showed initiation to commence it.
Inhaltsverzeichnis (Table of Contents)
- CHAPTER ONE: INTRODUCTION
- Background of the study
- Statement of the Problem
- Objectives of the study
- General objective
- Specific objective
- Research Questions
- Scope of the study
- Significance of the study
- Limitation of the Study
- Operational Definitions
- Organization of the Study
- CHAPTER TWO: REVIEW OF RELATED LITERATURE
- Theoretical literature Review
- General concepts and definition
- Evolution of Theories and Models of Adoption
- Comparison of the Models
- Justification of model selected
- Empirical Literature Review
- Origin, Evolution and Growth of Islamic Banking
- Underlying Principles of Interest-free Banking
- Islamic and Conventional Banking
- Empirical Review at International Level
- Empirical Review at National level
- Research Gap
- Conceptual Framework and Hypothesis Development
- Conceptual Framework
- Hypothesis Development
- The Proposed Research Model
- CHAPTER THREE: RESEARCH METHODOLOGY
- Research Purpose
- Research Design
- Data Source
- Study Area/Organization
- Target population
- Sampling methods and sample size
- Sampling Methods
- Sample Size Determination
- Branch Sample Size
- Data Collection Method
- Primary Data Collection
- Secondary Information
- Data Analysis
- Model Specification
- Measurement of Constructs
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
The main objective of this study is to investigate the factors affecting the implementation of interest-free banking (IFB) services in Ethiopia, specifically focusing on the Commercial Bank of Ethiopia (CBE) in Addis Ababa. The research aims to identify factors requiring consideration for successful IFB service implementation.
- Factors influencing the adoption of IFB services.
- The mediating role of customer involvement in IFB adoption.
- The moderating role of religious beliefs on IFB adoption.
- Application of the Innovation Diffusion Theory to the context of IFB services.
- Implications for banks, policymakers, and regulators in Ethiopia.
Zusammenfassung der Kapitel (Chapter Summaries)
CHAPTER ONE: INTRODUCTION: This chapter sets the stage for the research by introducing the background of the study, outlining the problem of IFB service implementation in Ethiopia, and stating the research objectives. It defines the scope and significance of the study, acknowledging limitations, operational definitions, and the overall organization of the thesis. The problem statement likely highlights the challenges CBE faces in successfully implementing and promoting IFB services, setting the context for the subsequent investigation into the influencing factors.
CHAPTER TWO: REVIEW OF RELATED LITERATURE: This chapter provides a thorough review of existing literature relevant to the study. It begins with a theoretical review, exploring various theories and models related to technology adoption and innovation diffusion, such as the Innovation Diffusion Theory, which serves as the foundational theoretical framework for this research. The empirical literature review analyzes previous studies on Islamic banking internationally and nationally, providing a context for understanding the existing research on IFB. This section likely identifies gaps in existing research, justifying the need for the current study. The chapter concludes by proposing a conceptual framework and hypotheses, bridging the theoretical and empirical review with the methodological approach of the thesis.
CHAPTER THREE: RESEARCH METHODOLOGY: This chapter details the research design, data collection methods, and data analysis techniques employed in the study. It describes the research purpose, clarifying the methods used to achieve the objectives outlined in Chapter One. The chapter will explain the choice of research design (likely quantitative or mixed methods), the source of data (primary and secondary), and the sampling methods used. A crucial aspect will be the explanation of the data analysis, specifying the statistical techniques (e.g., structural equation modeling) used to test the hypotheses and address the research questions. This chapter establishes the validity and reliability of the research methods used to ensure the credibility of the findings.
Schlüsselwörter (Keywords)
Interest-free banking (IFB), Innovation Diffusion Theory (IDT), religious beliefs, customer involvement, Ethiopia, Commercial Bank of Ethiopia (CBE), adoption, implementation, Sharia law, mediation, moderation.
Frequently Asked Questions: Comprehensive Language Preview of Research on Interest-Free Banking in Ethiopia
What is the main objective of this research study?
The primary goal is to investigate the factors influencing the implementation of interest-free banking (IFB) services in Ethiopia, particularly focusing on the Commercial Bank of Ethiopia (CBE) in Addis Ababa. The research aims to identify crucial factors for successful IFB service implementation.
What are the key themes explored in this research?
The study explores several key themes, including: factors influencing the adoption of IFB services; the mediating role of customer involvement in IFB adoption; the moderating role of religious beliefs on IFB adoption; the application of the Innovation Diffusion Theory to the context of IFB services; and implications for banks, policymakers, and regulators in Ethiopia.
What are the main chapters and their contents?
Chapter One: Introduction sets the context, defining the research problem, objectives, scope, and methodology. Chapter Two: Review of Related Literature provides a thorough review of theoretical and empirical literature on Islamic banking and innovation diffusion, identifying research gaps and proposing a conceptual framework. Chapter Three: Research Methodology details the research design, data collection methods (primary and secondary), sampling techniques, and data analysis procedures used to test the hypotheses.
What theoretical framework is used in this research?
The study utilizes the Innovation Diffusion Theory (IDT) as its foundational theoretical framework to understand and analyze the adoption of IFB services.
What data collection methods are employed?
The research employs both primary and secondary data collection methods. The specific methods used for primary data collection are not explicitly detailed in the preview but are described in Chapter Three. Secondary data will likely include existing literature and potentially publicly available data on the CBE and the Ethiopian banking sector.
What kind of data analysis will be used?
While the precise statistical techniques aren't specified in the preview, Chapter Three indicates that the data analysis will involve methods suitable for testing the hypotheses and addressing the research questions. Techniques like structural equation modeling are likely candidates given the complexity of the research questions.
What is the significance of this study?
The study's significance lies in its contribution to understanding the challenges and opportunities associated with implementing IFB services in Ethiopia. The findings will offer valuable insights for banks, policymakers, and regulators, aiding in the development of effective strategies for promoting the successful adoption of IFB.
What are the limitations of this study?
Specific limitations are not explicitly stated in this preview but are likely addressed in Chapter One. These limitations could include geographic scope (focus on CBE in Addis Ababa), sampling limitations, or constraints related to data availability.
What are the keywords associated with this research?
Keywords include: Interest-free banking (IFB), Innovation Diffusion Theory (IDT), religious beliefs, customer involvement, Ethiopia, Commercial Bank of Ethiopia (CBE), adoption, implementation, Sharia law, mediation, moderation.
Where can I find the complete research?
The provided text is a preview and does not contain the complete research. Further information on accessing the full research would need to be obtained from the publishing company or the researchers themselves.
- Quote paper
- Nobel Aragaw (Author), 2019, Implementation of interest free banking services in Ethiopia. The mediating role of customer involvement, Munich, GRIN Verlag, https://www.grin.com/document/500995
