Essay On Online Banking

Competitive advantage

Internet banking is consider to an important factor in order to gain an edge in the market because it can help the organization to reduce their cost which increases the revenues for them and at the same time, it help them to enhance the level of services provided to the customers because of more communication among the participants. Some basic issues being observed in organizations are related to management consisting of lack of accurate information and when the providers are not too much effective (Somuyiwa, 2009 and Somuyiwa and Oyesiku, 2010).

According to Ahamad kaleem 2008, electronic banking plays an important role in today’s competitive banking environment because it is use as a tool which can minimize the inconvenience faced by the customers. It also helps to reduce the associated transactional cost and it is also time efficient. It also minimizes the risks associated while making cash transactions. It also helps to communicated more effectively with the general public. It increases the government accessibility with the public. However, the drawbacks can be that data of public can be misused for frauds as well as it can use for illegal activities so there is a security gap related to online banking

They will go for an alternative which is the best possibility for the organization. Transactional Cost Analysis basics were provided by Coase (1937) and Williamson later worked on it (1975, 1981, 1992, 1994). It explains that there is an effect of such costs between the organizations and it also includes the response from the market as well. It includes all the costs whether they are direct or indirect. It affects the decisions that are being made by the organization. It can be determined by ambiguity, behaviors, analysis of certain transaction and assets evaluation