Ethnicity and Choice Criteria in Retail Banking: A Malaysian Perspective

Abstract

This exploratory research empirically investigates variation in bank choice criteria between three distinct cultural groups in Malaysia, namely Malays, Chinese and Indians. The author predicted that, due to differences in values and lifestyles of the three ethnic groups, cultural differences would be observed in the level of importance members of each group attached to specific bank choice criteria. A quantitative methodology, using responses given by 482 Malaysia's undergraduates, is employed in the analysis. The results of this comparative analysis indicate that there is a difference in bank choice criteria based on ethnic backgrounds, and bank marketers can capitalize on these differences, by identifying them and designing appropriate operations and marketing strategies, leading to increased customer satisfaction and competitive advantage.

Analysis of the Influence of Gender on the Choice of Bank in Southeast Nigeria

“…Similarly, Srivatsa and Srinivasan (2008) also investigated gender differences in the relative importance of bank choice criteria in India. Interestingly, the study of Omar and Orakwe (2008) and Srivatsa and Srinivasan (2008) as reported in Mokhlis et al (2010) found some differences in choice factors used by male and female customers in selecting a retail bank for patronage.…”

“…Mokhlis et al (2010) in their study reported that the first major study of note that used demographic factors in analysing bank choice is Laroche et al (1986), wherein they found that there are some significant differences in choice criteria for retail banks in Canada with respect to gender, language, age, income and educational level groups. In their study in Turkey, Kaynak et al (1991) reported differences in bank selection criteria based on gender, age and education background of bank customers.…”

“…In a study in Bangladesh by Rashid and Hassan (2009), they found that customers with different demographic backgrounds reported different levels of importance towards choice criteria for Islamic banks. The study by Omar and Orakwe (2008) cited in Mokhlis et al (2010) investigated gender differences in the relative importance of bank choice criteria in Nigeria. Similarly, Srivatsa and Srinivasan (2008) also investigated gender differences in the relative importance of bank choice criteria in India.…”

Personal Characteristics and Banking Behaviour of Customers: Further Evidence from Usmanu Danfodiyo University Sokoto-Nigeria

“…In the same vein, Mokhlis et al (2010) empirically investigates variation in bank choice criteria between three distinct cultural groups in Malaysia, namely Malays, Chinese and Indians. The authors predicted that, due to differences in values and lifestyles of the three ethnic groups, cultural differences would be observed in the level of important members of each group attached to specific bank choice criteria.…”

Selection criteria in the South African retail banking sector

“…Several studies have been done in developing economies such as Bangladesh (Rashid, 2012), Cyprus (Senyucel, 2009), Malaysia (Mokhlis et al, 2010) Pakistan (Nayyab et al, 2011), Thailand (Lateh et al, 2009) and also African countries such as Ghana (Narteh and Owusu-Frimpong, 2011) and Nigeria (Aregbeyen, 2011). To the knowledge of the authors, no study has been conducted in the South African context and on any market segment of the South African banking population.…”