Examining switching costs as a moderator in the relationship between Essay

Examining switching costs as a moderator in the relationship between service personalization, customer satisfaction and customer - Essay Example Web presence with low price, low search costs, high power obtained and convenient with the appearance of the internet. The incredible growth of the internet is significant changing the way of business model. This is no exception that internet technology that significant influence and changing the global banking industry. Internet banking is fairly considered as one of the major achievements in global finance. Financial organizations and facilities invest heavily in the development of sophisticated internet technologies, to improve their daily operations. The internet exemplifies a new channel for expanding the customer base and raising customer satisfaction for banks. Today, a mere click of mouth can turn the world of financial services upside down, giving consumers unprecedented freedom in choosing the best provider of high-quality financial services (Chong Soo, Scruggs et al. 2002). Internet banking has recently become one of the most frequently discussed topics in professional l iterature. Numerous studies shown that internet has become the most popular electronic delivery platform for banking (Karjaluoto, Mattila et al. 2002). Open-access networks are studied and further used to deliver high-quality banking services directly to customers. Efficient provision of various information technologies and online financial services to customers has already become an inseparable component of the banks’ daily routine (Daniel 1999). Non-human interaction and extensive use of the internet operation are no longer surprising to anyone but, on the contrary, serve the principal channel for delivering financial services to customers all over the world. (Minjoon and Shaohan 2001). The Hong Kong financial services sector has changed significantly during the past decades. Previously, the banks used conventional, branch-based systems and organizational networks, to deliver financial services to customers. After then the banks have come to realize the need for lower cost methods of financial services delivery to customers, which would help them to develop new ways of attracting customers. Banks started to improve and restructure their product delivery mix, to include various technology elements and develop new approaches for financial services and business operations in the banking sector. An early breakthrough was ATM and 24 hours telephone banking services. To rapid development of internet and telecommunication technologies, most of banks was migrated the financial services to internet platform. Nowadays, online banking services exemplify one of the most successful achievements in the global financial services industry. The internet turns into the principal channel for enhancing customer service, as well as improving integration and interaction with their clients. Through the simplest form, the internet bank can use one single web-page in the Internet, to provide customers with high-quality banking services. (Jones, Mothersbaugh et al. 2002 ). Therefore, these are technologies that lead banks to acquire better opportunities to control their profit structures, costs, manage and possibly reduce operating expenses, as well as develop and sustain efficient systems of profitability management. The simplest website can provide customers