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TABLE OF CONTENT

PREFACE ............................................................................................................... ii

TABLE OF CONTENT ......................................................................................... iv

LIST OF TABLES ................................................................................................ vii

LIST OF FIGURES ............................................................................................. viii

INTISARI .............................................................................................................. ix

ABSTRACT ............................................................................................................ x

CHAPTER 1 ........................................................................................................... 1

Introduction ............................................................................................................. 1

1.1 Background .............................................................................................. 1

1.2 Problem Statement ................................................................................... 6

1.3 Research Questions .................................................................................. 8

1.4 Research Objectives ................................................................................. 8

1.5 Research Scope ........................................................................................ 9

1.5.1 Research Model ................................................................................ 9

1.5.2 Research Object ................................................................................ 9

1.5.3 Research Location ........................................................................... 10

1.5.4 Research Time ................................................................................ 10

CHAPTER 2 ......................................................................................................... 11

Theoretical Framework and Hypothesis Development ......................................... 11

2.1 Internet Banking Service Quality ........................................................... 11

2.2 E-customer Satisfaction .......................................................................... 13

2.3 E-customer Loyalty ................................................................................ 15

2.4 The Relationship between Internet Banking Service Quality and E-

customer Satisfaction ........................................................................................ 16

2.5 The Relationship between Internet Banking Service Quality and E-

customer Loyalty ............................................................................................... 18

2.6 The Relationship between E-customer Satisfaction and E-customer

Loyalty .............................................................................................................. 19

2.7 Research Model ...................................................................................... 20

CHAPTER 3 ......................................................................................................... 22

Research Methods ................................................................................................. 22

3.1 Research Strategy ................................................................................... 22

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3.2 Operational Definition and Measurement of Variables ......................... 23

3.2.1 Internet Banking Service Quality .................................................... 23

3.2.2 E-customer Satisfaction .................................................................. 25

3.2.3 E-customer Loyalty ......................................................................... 25

3.2.4 Measurement Scale ......................................................................... 26

3.3 Sampling Design .................................................................................... 26

3.3.1 Sampling Method ............................................................................ 26

3.3.2 Population and Sample unit ............................................................ 27

3.3.3 Sample size ..................................................................................... 28

3.3.4 Research Location ........................................................................... 29

3.4 Respondent Profile ................................................................................. 29

3.5 Research Object ...................................................................................... 33

3.6 Data Collection Method ......................................................................... 34

3.7 Research Instrument ............................................................................... 35

3.8 Instrument Testing .................................................................................. 36

3.8.1 Validity Testing .............................................................................. 36

3.8.2 Reliability Testing ........................................................................... 39

3.9 Data Analysis Method ............................................................................ 41

3.9.1 Analysis Method ............................................................................. 41

3.9.2 Classical Assumption for Data Analysis Method ........................... 43

3.9.3 Formulation Development .............................................................. 44

3.9.4 Goodness of Fit Measurement ........................................................ 45

3.9.5 Level of Significance ...................................................................... 45

3.9.6 Hypothesis Testing .......................................................................... 46

CHAPTER 4 ......................................................................................................... 47

Data Analysis ........................................................................................................ 47

4.1 Research Data Quality ............................................................................ 47

4.1.1 Classical Assumption ...................................................................... 47

4.1.1.1 Normality Test ........................................................................... 47

4.1.1.2 Multicollinearity Test ................................................................ 48

4.1.2 Descriptive Statistics ....................................................................... 48

4.1.3 Correlations ..................................................................................... 49

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4.2 Goodness of Fit Model ........................................................................... 51

4.2.1 Goodness of Fit of Regression Model I .......................................... 51

4.2.2 Goodness of Fit of Regression Model II ......................................... 52

4.3 Hypothesis Testing ................................................................................. 55

4.3.1 H1: Internet banking service quality has a positive relationship with

e-customer satisfaction. ................................................................................. 55

4.3.2 H2: Internet banking service quality has a positive relationship with

e-customer loyalty. ........................................................................................ 56

4.3.3 H3: E-customer satisfaction has a positive relationship with e-

customer loyalty. ........................................................................................... 56

4.4 Summary of Hypothesis Testing ............................................................ 58

CHAPTER 5 ......................................................................................................... 60

Conclusion ............................................................................................................ 60

5.1 Conclusion .............................................................................................. 60

5.2 Managerial Implication .......................................................................... 62

5.3 Limitation of Research ........................................................................... 65

5.4 Further Research Direction .................................................................... 65

REFERENCES ..................................................................................................... 67

KUESIONER ........................................................................................................ 78

APPENDIX ........................................................................................................... 89