Cashless Revolution: A Study on Factors Affecting Intension and Adoption of Cashless Economy in India Nasir Ahmad Zargar , Rossanto Dwi Handoyo, Kabiru Hannafi Ibrhim, umar Ali
Department of Economics, Faculty of Economic and Business University of Airlangga, Surabaya, Indonesia
Department of Economics, Faculty of Social and Management Sciences Federal university , Brinin Kebbi, Nigeria
Department of Economics, Faculty of Economics and Business, University of Kashmir Srinagar, India
Abstract
As the world steadily progresses towards a cashless society, it becomes increasingly apparent that a cashless economy is the future. Although several countries have successfully transitioned to cashless economies, consumers in many emerging nations still exhibit a sluggish adoption rate for cashless payment systems. This study aims to create a model that elucidates the connection between intention and the adoption of digital payments in India. The research utilizes the UTAUT framework and gathers data from 486 individuals through a Google Form, which is subsequently analyzed using PLS-SEM. The results indicate that perceived security, service quality and usefulness exert a strong influence on intention to adopt cashless economy while social influnce shows significant but weak influence. Moreover, the intention to use cashless economy strongly influnces the adoption of cashless economy, furthermore the perceived service quality ,usefulness, security and social influence shows significant mediation effect. These findings offer valuable insights for managers and policymakers who seek to devise effective strategies for promoting consumer intent and facilitating the adoption of cashless transactions in a tumultuous market. Ultimately, the implementation of such measures can support the growth of digital platforms and web-based applications, further encouraging the acceptance of cashless economies in emerging nations.
Keywords: Perceived Trust- Perceived Ease of Use- Perceived Service Quality- Perceived Usefulness- Perceived Security- Social influence- Intention- Adoption- Cashless economy
