What are the advantages and disadvantages of digital banking? | 5 Answers from Research papers (2024)

What are the disadvantages of digital banking related Dependence on Technology?5answers

Dependence on technology in digital banking presents several disadvantages. One major concern is the increased risk of cyber incidents and fraudulent activities, leading to potential financial losses and breaches of personal data . Additionally, the rapid acceleration of digital trends in banking can result in a growing dependence on leading technology companies, potentially concentrating power in the market and strengthening monopolies, which poses a threat to the traditional banking sector . Moreover, the reliance on digital channels in banking operations introduces information risks that become a factor in all traditional banking risks, highlighting the vulnerability of financial institutions to technological disruptions and security breaches . Overall, while digitalization offers numerous benefits, such as expanded client bases and cost reductions, the overreliance on technology in banking necessitates careful management to mitigate the associated risks effectively.

What is digital banking services?4answers

Digital banking services refer to the use of digital technology and platforms by banks to provide various financial services to customers. These services include accessing account information, making transactions, opening and closing accounts, and obtaining other banking-related information and services . Digital banking allows customers to perform these activities conveniently and independently, without the need to physically visit a bank branch. It has transformed traditional banking activities from in-person interactions to digital transactions, using devices such as smartphones, computers, and other gadgets . The development of digital banking has been driven by advancements in information and communication technology, as well as the widespread use of the internet and social media platforms . Digital banking services aim to provide customers with convenience, speed, and security in their financial transactions, ultimately enhancing their banking experience .

What are the benefits of digital banking services?5answers

Digital banking services offer several benefits to customers. Firstly, they provide convenience by allowing customers to perform banking transactions easily, quickly, and securely without the need to physically visit a bank branch . Secondly, digital banking eliminates the use of paper, making it more environmentally friendly and reducing the need for physical documents such as demand drafts, pay slips, and cheque leaves . Thirdly, digital banking services are available 24x7, allowing customers to access and conduct transactions at any time and from any location . Additionally, digital banking services offer a wide range of products and services, including internet and mobile banking, e-transfer of funds, bill payments, e-wallets, and UPI payment mechanisms . Overall, digital banking services provide customers with greater flexibility, convenience, and accessibility in managing their financial transactions.

What are the benefits of e banking?4answers

E-banking offers several benefits. Firstly, it provides convenience to customers by allowing them to access banking services anytime and anywhere, without the need to visit a physical branch . Secondly, it reduces costs for both banks and customers by eliminating the need for physical infrastructure like branches and ATMs . Thirdly, e-banking enables faster processing times and improved efficiency for banks through automation of processes . Additionally, it facilitates the swift movement of funds domestically and across borders, making it a cost-effective way of providing banking services . Lastly, e-banking offers the advantages of paperless banking, avoiding the inconvenience of traditional services, and providing enhanced security and privacy measures .

What are the advantage and disadvantage of a virtual bank?5answers

Virtual banking offers several advantages and disadvantages. One advantage is that it provides low-cost and convenient banking solutions, especially for traditionally unbanked individuals, through the use of internet technology and information communication technologies (ICTs) . Virtual banks also offer higher saving rates than the national average, benefiting customers through cost reduction and efficient services . Additionally, virtual banking allows for remote communication channels, ensuring quality, fast, and secure customer service . However, there are also disadvantages to virtual banking. One disadvantage is the increased level of risk associated with online transactions, which can lead to a lack of trust in the security of virtual banking . Another disadvantage is the need for more support services from both private and government banks to satisfy customer requirements . Overall, virtual banking offers convenience and cost savings, but it also presents challenges related to security and customer satisfaction.

How does cultural integration affects mergers?4answers

Cultural integration significantly impacts mergers and acquisitions (M&A) by influencing employee satisfaction, work behavior, bid premiums, and the probability of deal completion. Research emphasizes the importance of organizational justice and social identity in the M&A process , showing that poor cultural integration initiation can lead to increased feelings of workplace injustice and deviant work behavior among employees. Additionally, the acquirer's culture plays a crucial role in cross-cultural M&A decisions, bid premiums, and deal completion rates . The complexity of integrating organizational cultures in M&A processes is highlighted, especially in cross-border scenarios, where differences in national cultures add another layer of challenge to achieving synergies and success in the integration process . Strategies for successful cultural integration include assessing cultural differences comprehensively, selecting suitable integration strategies, focusing on synergy effects, and establishing shared corporate cultures and behavioral norms .

Why customer satisfaction can impact on customer loyalty ?5answers

Customer satisfaction plays a crucial role in influencing customer loyalty due to the strong relationship between the two factors. Studies have consistently shown that satisfied customers are more likely to exhibit loyalty towards a brand or service . Customer satisfaction acts as a mediator between service quality and customer loyalty, indicating that when customers are content with the service provided, they are more inclined to remain loyal to the brand . Additionally, the impact of customer satisfaction on loyalty is further emphasized when considering the mediating role of corporate communication, which enhances the relationship between satisfaction and loyalty . Therefore, by focusing on enhancing customer satisfaction through various factors such as convenience, design, and service quality, businesses can effectively cultivate customer loyalty and ensure long-term success in competitive markets.

How does the rhetoric of AI differs with reality in retail industry?5answers

The rhetoric surrounding Artificial Intelligence (AI) in the retail industry often emphasizes its transformative potential, such as enhancing customer experiences, optimizing inventory management, and improving decision-making processes . However, the reality of AI implementation in retail may face challenges in fully realizing these promises. While AI can indeed assist in order processing, shipping, and inventory management in retail establishments , the actual deployment and integration of AI technologies into existing systems may encounter obstacles. Additionally, the application of AI in industrial automation and fashion technology systems within retail shows promise for innovation and product design improvements . Therefore, while the rhetoric of AI in retail is promising, the practical implementation may require overcoming various hurdles to achieve its full potential.

How does knowledge transfer impact innovation in research organizations?5answers

Knowledge transfer plays a crucial role in driving innovation within research organizations. The transfer of knowledge, whether explicit or tacit, is essential for fostering innovative behavior . Tacit knowledge, especially, is highlighted as a core resource for organizational innovation, emphasizing the importance of symbiotic relationships between members in facilitating effective knowledge transfer . Furthermore, the synergy between basic and applied research, supported by government funding, is vital for regional innovation output, showcasing the significance of knowledge flows in innovation processes . Research universities, as key players in the innovation sphere, rely on knowledge transfer mechanisms to disseminate new knowledge, technologies, and innovations to external stakeholders, thereby contributing to societal and economic progress . Academic studies also reflect a growing interest in knowledge transfer within organizations to enhance innovation and performance, underscoring the evolving landscape of research in this area .

How does market manipulation operate in cryptocurrency?5answers

Market manipulation in cryptocurrency operates through schemes like pump and dump and crowd pump, where coordinated groups exploit low liquidity and lack of regulation to artificially inflate prices and deceive investors. These manipulative practices are openly declared in the cryptocurrency market, attracting participants despite negative expected returns due to overconfidence and gambling preferences . The schemes generate extreme price distortions, abnormal trading volumes, and significant wealth transfers among participants . By leveraging unique datasets and machine learning models, researchers have been able to detect pump and dump events in real-time with high accuracy, helping investors avoid falling victim to these fraudulent activities . Additionally, analyzing transaction networks of exchanges has revealed market manipulation patterns, emphasizing the need for stronger supervision in the cryptocurrency market to prevent such practices .