SMEASURING CONSUMER
ATISFACTION
IN INTERNET BANKING:
A CORE FRAMEWORK What service-quality
attributes must Internet banks offer to induce consumers to switch to
online transactions and keep using them?

We apply Herbert Simon’s seminal idea of bounded rationality to construct a framework for measuring consumer satisfaction with Internet banking in terms of a core subset of attributes. This construction facilitates decision-cost-effective thinking and applications on the part of the e-bank’s operations and IT managers to enhance customer service quality and boost market share in this expanding but increasingly competitive business area. Strong analytical and empirical grounds are offered to support such an approach. The managerial implication follows that when planning to expand or contract Internet operations, e-banks must first focus on attributes in the core subset, along with their benefits and costs.

An increasing number of banks worldwide offer facilities that allow customers to access accounts and execute transac-

By Ziqi Liao and Michael Tow Cheung