In recent times, the pursuit of a cashless society has emerged as a shared objective among nations worldwide. This research addresses a pivotal yet often overlooked issue—what influences debit card users’ intent to engage in cash withdrawal. By employing the framework of transaction cost economics theory, the study conceptualizes cash withdrawal as a behavioral shift from utilizing debit card services for electronic money transfers to relying on physical currency for payment activities.
The research methodology combined qualitative techniques, including in-depth interviews, to construct measurement indicators and formulate hypotheses, followed by a structured quantitative survey involving 379 Vietnamese debit card users. The analytical findings reveal that minimizing the perceived challenges of adapting to debit card technology and boosting the perceived usefulness of such cards significantly lowers the likelihood of cash withdrawal.
These insights offer meaningful implications for financial institutions and regulatory authorities in economies where cash remains dominant. Furthermore, the research contributes to the broader application of transaction cost economics by introducing a novel dimension that considers consumer switching behaviors between various governance structures.
