Determinants of non-cash payment in Vietnam: A case in Ho Chi Minh city

Abstract

Payment systems have evolved along with the rapid development of technology and the digitization of society. Cash payment roles are being gradually replaced by non-cash payment instrument due to the continually evolving transaction mechanisms that quick and practical payments. The government determined that there have been significant improvements in both the scope and quality of non-cash payment activities for public services in Viet Nam. This study examined the factors underpinning non-cash payment intention self-administered data collected from 429 respondents who arre in the age between 18-29 years old in Ho Chi Minh City. A theoretical framework was developed grounded on the Unified Theory of Acceptance and Use of Technology (UTAUT) model with seven factors: 1) Performance Expectancy, 2) Effort Expectancy, 3) Social Influence, 4) Facilitating Conditions, 5) Hedonic Motivation, 6) Perceived Value, 7) Perceived Risk. The quantitive results shown that the intention to apply non-cash payment systems of young people was significantly influenced by: 1) Social Influence, 2) Performance Expectancy, 3) Effort Expectancy. The results have also given some suggestions for efficiently improving and developing non-cash payment system in the future.