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Why resist? examining the impact of technological Advancement and perceived usefulness on Malaysians’ switching intentions: The moderators
- The Journal of Developing Areas
- Tennessee State University College of Business
- Volume 49, Number 3, Summer 2015
- pp. 65-80
- 10.1353/jda.2015.0172
- Article
- Additional Information
The adoption of new technology represents a critical issue that firms need to confront when an improved product version is introduced to customers. Although prior research has established the benefits of technological improvements, it is still unclear why customers are typically slow to accepting new technology despite extensive marketing efforts. The main purpose of this paper is to examine how specific components of switching barrier, namely, lack of service facilities, switching costs, and adoption difficulty, moderate the effects of technological advancement and perceived value on switching intentions. A survey was conducted among highway commuters with alternative technological improvements, particularly an upgraded mobile devise in electronic toll collection (ETC) services. Results indicate that both technological advancement and its perceived value have a positive impact on customers’ intention to switch products. Nevertheless, high levels of perceived switching barriers mitigate the technological advancement–and perceived value–switching intention relationships. Based on the study findings, practical implications are discussed.