Author(s): Fekri Shawtri, Ibrahim Hussien Musa Magboul
The financial industry has been strongly influenced by digitalization in the past few years due to the emergence of financial technology (fintech), with many financial service providers adopting fintech. The development of fintech systems has bought a radical change to the financial industry by providing opportunities for the creation of new services and business models and poses challenges to traditional financial service providers. Thus, fintech has become subject to attention and research among practitioners and scholars. Based on technology adoption extant literature, this study aims to validate structural relationships that incorporate four external antecedents and three innovation outcomes into one model. Several hypotheses are suggested based on the model as the basis for future survey work to investigate the various aspects of fintech adoption. A survey was conducted from 126 observations deploying AMOS to validate the study model. Four out of seven antecedents were supported by data while three were not. Surprisingly, fintech adoption has a significant positive effect on all innovation outcomes, namely process innovation, product innovation, and innovation capability. This study could contribute to research in the areas of information systems and finance. It also benefits researchers and practitioners of Fintech technologies.