DETERMINANTS OF BEHAVIOR INTENTION TO ADOPT PEER-TO-PEER LENDING SERVICES AMONG INDONESIA MSMES

Abstract

An alternative for Micro Small and Medium-Sized Enterprises (MSMEs) against the barriers of financial inclusion is peer-to-peer (P2P) lending services. Despite its effectiveness in advancing financial inclusion, the factors that influence its adoption among MSMEs are unique. The purpose of this study is to analyze the factors influencing the intention of Indonesia MSMEs to adopt P2P lending services using the unified theory of acceptance and use of technology (UTAUT) 2 model. The results of this study show that five variables significantly affect MSMEs including performance expectancy, social influence, price value hedonic motivation, and effort expectancy. Meanwhile, the result shows that the factors of facilitating conditions and habits were not significant. This study contributes a reflective insight on the determinants of the P2P lending adoption among MSMEs in a developing country.