Analysis of effect of perceived cybercrime risk on mobile app payments
Abhinav Pal, Chandan Kumar Tiwari, Abhishek Behl · International Journal of Public Sector Performance Management · 2019
The evolution of e-commerce has reformed the way in which business is done. However, security issues pertaining to online transactions have posed limitations to its expansion. The present study uses technology acceptance models coupled with cyber criminology to expose the factors responsible for deviation of risk-averse customers from having frequent access to online transactions. Data is collected for tier-1 cities in India owing to higher rate of diffusion of mobile application-based payments. Structural equation modelling is used to test the hypothesis. It is found that perceived risk of cybercrime adversely affects the usage of apps for transacting online. Cybercrime risk inversely impacts the confidence of users and thus their tendency of using mobile apps for payments. Strong correlation is also found between victims of cybercrime and their frequency of usage before and after the crime. There is thus a need to address these issues to enable online merchants to retain their customers.