Volume 3 Issue 2 July - December 2026

Abstract

Internet access, smartphones, and digital payment options have expanded online shopping. This study examined associations between perceived ease of use, perceived usefulness, perceived trust, and online purchase intention among 226 online shoppers in Rupandehi District, Nepal, using a quantitative cross-sectional survey and PLS-SEM. All three predictors had positive, statistically significant path estimates: perceived ease of use (beta = 0.376, p < 0.001), perceived usefulness (beta = 0.361, p = 0.001), and perceived trust (beta = 0.213, p < 0.001). Perceived ease of use had the largest path coefficient. The model explained 66.4% of the variance in online purchase intention (R-squared = 0.664). The nonprobability sample and cross-sectional design limit causal interpretation and generalizability. Keywords: Purchase Intention, Perceived Ease of Use, Perceived Usefulness, Perceived Trust, Online Shopping.

Abstract

This study examined associations between personal interest, peer influence, family influence, job opportunities, compensation, and career choice decision among management graduates at Tribhuvan University-affiliated campuses in Rupandehi District, Nepal. A quantitative cross-sectional survey analysed 300 questionnaires using SmartPLS 4.0 and PLS-SEM. Findings: Personal interest (beta = 0.194, p = 0.020), family influence (beta = 0.251, p = 0.002), and compensation (beta = 0.183, p = 0.006) had positive statistically significant path estimates. Peer influence (p = 0.084) and job opportunities (p = 0.071) were not statistically significant. The model R-squared was 0.294 (adjusted R-squared = 0.282). Findings are associations within a nonprobability sample and should not be interpreted causally or generalized beyond this context. Please reconcile whether respondents were students, graduates, or both. The study adopted a quantitative research design. A total of 300 respondents were selected from different management programs using convenience sampling techniques. Moreover, a questionnaire was used to collect data from the respondents. The questionnaire was scored on a 7-point Likert scale. Additionally, the study applied the partial least squares structural equation modelling (PLS-SEM) approach using SmartPLS 4.0 software in analysing the data. The analysis revealed that personal interest, family influence, and compensation had a significant effect on the career choice decisions of management graduates. On the other hand, peer influence and job opportunities had no effect on the career choice decisions of the graduates. Hence, the study established that the graduates placed more value on their personal interests, family influence, and compensation than peer influence and job opportunities. The current study adds to the body of knowledge on career choice by providing evidence of the applicability of Social Cognitive Career Theory, Theory of Planned Behavior, and Human Capital Theory in the Nepalese higher-education context. Moreover, the findings have practical implications for universities, career counselors, employers, and policymakers in terms of designing career guidance programs, family career planning interventions, compensation strategies for sustaining desirable occupational choices, and policies that promote congruence between higher-education programs and labour market needs. Keywords: Career choice decision, Management graduates, Personal interest, Family influence, Compensation.

Abstract

The rapid expansion of digital banking has increased concerns about protecting customers' personal and financial information. This study examined associations between five cybersecurity-related perceptions and customer switching intention in the banking sector of Rupandehi District, Nepal: perceived security, data privacy, cyberattack experience, trust in the bank's security system, and cybersecurity awareness. A quantitative cross-sectional survey of 297 banking customers recruited through convenience sampling was analysed using partial least squares structural equation modelling (PLS-SEM), importance-performance map analysis (IPMA), and necessary condition analysis (NCA). The model explained 77.6% of sample variance in switching intention (R-squared = 0.776). Table 10 reports statistically significant negative path coefficients for perceived security, data privacy, cyberattack experience, and trust; cybersecurity awareness had a positive but nonsignificant coefficient. These directions, particularly the negative cyberattack-experience coefficient and its conflict with the sample-mean column, require verification against the original output and construct coding. The cross-sectional findings should be interpreted as associations, not causal effects. Keywords: Cybersecurity, Customer Switching Intention, Perceived Security, Data Privacy.

Abstract

Green human resource management (GHRM) may support organizational sustainability, but its relationship with economic sustainability in Nepal's banking sector is under-researched. This study examined associations between five GHRM practices and economic sustainability among commercial-bank employees in Rupandehi District, Nepal. A quantitative cross-sectional survey of 310 employees was analysed using partial least squares structural equation modelling (PLS-SEM); importance-performance map analysis (IPMA) and necessary condition analysis (NCA) were also reported. The structural model explained 87.4% of the sample variance in economic sustainability (R-squared = 0.874). Green recruitment and selection, performance appraisal, rewards and compensation, and employee involvement had statistically significant positive path estimates; green training did not (p = 0.513). Employee involvement had the largest path coefficient (0.529) and the highest reported importance in the IPMA (0.529). Because the study is cross-sectional and uses convenience sampling, the findings are associational and should not be generalized beyond the study sample without further evidence. Keywords: Green Human Resource Management; Economic Sustainability; Commercial Banks; PLS-SEM; Employee Involvement.

Abstract

This study examines the determinants of individual investors' intention to participate in the Nepalese stock market by extending the Theory of Planned Behaviour (TPB) with financial literacy and past behaviour bias. The primary objective is to analyse how attitude, subjective norms, perceived behavioural control, financial literacy, and past behaviour bias influence investment intention. A descriptive and causal research design was employed using survey data collected from 391 experienced investors selected through convenience sampling. Data were analysed using SPSS and SmartPLS, incorporating descriptive statistics, correlation analysis, multiple regression, and structural equation modelling. The findings reveal that all TPB constructs — attitude, subjective norms, and perceived behavioural control — significantly and positively influence investment intention, with perceived behavioural control emerging as the strongest predictor (β = 0.348). Financial literacy (β = 0.183) and past behaviour bias (β = 0.104) also show positive but comparatively weaker effects. The extended model explains 43.7 percent of the variance in investment intention (R² = 0.437, F = 59.647, p < 0.001). The study concludes that investment intention in Nepal is driven primarily by psychological and social factors, while financial literacy and past behaviour serve as supporting influences, and offers implications for policymakers, financial institutions, and investment educators. Keywords: Investment intention, financial literacy, past behaviour bias, attitude, subjective norms, Theory of Planned Behaviour, Nepal.

Abstract

This study explores how behavioral biases affect individual investors' investment decisions in the stock market in Nepal, particularly the overconfidence, representativeness, availability, anchoring and herding biases. The research stems from theories in behavioral finance like Prospect Theory and Heuristics and Biases program, which has identified a lack of knowledge about investor psychology in the developing stock market of Nepal, NEPSE, where conventional rational assumptions are not always applicable. The type of research design used was descriptive and causal-comparative research design. A total of 385 individual investors from the convenience sample of Rupandehi of Nepal were contacted to collect the primary data of this study through a structured questionnaire. Cronbach's alpha (> 0.68 for all constructs) was used to measure reliability. Descriptive statistics, Pearson correlation and multiple regression was used in SPSS for data analysis. The findings show statistically significant positive correlations between all the behavioural biases and investment decisions (r = 0.61 – 0.69; p< 0.01). The five biases accounted for 62% of the variation in investment decisions (R = 0.79, R 2 = 0.62, F = 94.37, p < 0.001) in multiple regression analysis. The most important predictor was availability bias (β = 0.301); the others were the anchoring effect (β = 0.254), overconfidence (β = 0.241), representativeness (β = 0.226), and herding (β = 0.219). All hypotheses were accepted. The results support the notion that there are psychological and cognitive biases that are a major factor affecting the investment decisions of the Nepalese investors apart from rational analysis. The study makes several important contributions to the behavioral finance literature in developing markets and it has implications for investor education, for financial market regulation by SEBON and NEPSE, for brokerage services and for improving financial market development by strengthening financial literacy and information transparency. Keywords: Behavioural finance, overconfidence, representativeness, availability bias, anchoring, herding, investment decision.

Abstract

This study examines how capital structure relates to the profitability of Nepalese commercial banks, distinguishing deposit financing from non-deposit interest-bearing debt. Using a panel of eight commercial banks over 2009/10 –2024/25, it estimates pooled OLS models with year fixed effects and bank fixed-effects models with Driscoll–Kraay standard errors. Profitability is measured by return on assets (ROA) and return on equity (ROE), and the estimation sample contains 126 bank-year observations. Deposit financing is negatively and significantly associated with ROA under both estimators. Its association with ROE is also negative and becomes significant at the 10% level in the fixed-effects model. Non-deposit interest-bearing debt has negative but statistically insignificant coefficients in all specifications. The non-performing loan ratio is negatively associated with ROE, whereas bank size is weakly and positively associated with ROA within banks. Asset growth shows no significant association with either profitability measure. The negative direction of the deposit-financing coefficient is consistent across both profitability measures and both estimators. These findings suggest that, in a deposit-dominated banking system, heavier reliance on deposits relative to equity coincides with lower asset returns. The study contributes by separating two components of bank debt that prior Nepalese research has usually combined. The study also demonstrates that the measurement of profitability at the asset or equity level influences conclusions about bank capital structure. Keywords: Capital Structure, Deposit Financing, Non-Deposit Debt, Bank Profitability, Panel Data, Driscoll–Kraay, Nepal.

Abstract

The determinants of credit risk need to be established because non-performing loans (NPLs) are a major threat for the stability and performance of commercial banks. This study aims to explore the factors that influence the NPLs of the commercial banks of Nepal with the help of a balanced panel data with 10 commercial banks and 120 bank-year observations for the period 2013/14 to 2024/25. It uses the Panel data regression analysis techniques with the Random Effects Model being chosen by the findings of the Breusch-Pagan Lagrange Multiplier Test and Hausman Specification test. The result revealed that the overall model explains almost 59.5 percent of the variations in NPLs of the commercial banks in Nepal. This further showed that among the variables used in the study, Return on Assets and Capital Adequacy Ratio have negative influence on the NPLs whereas Bank Size has positive influence on NPLs, but Credit Growth does not have any influence on NPLs. Conversely, GDP Growth, Inflation and Unemployment have a positive impact on NPLs while Weighted Average Lending Rate (WALR) has a negative impact on NPLs. Therefore, it is concluded that the credit risk of Nepalese commercial banks is affected by both bank specific and macroeconomic factors and that bank specific factor has the greater effect on the credit risk of commercial banks in Nepal in comparison to macroeconomic factor. This study supplements the knowledge on risk management practices of commercial banks of Nepal and particularly on NPL in Nepal. The study's findings have several managerial and policy implications regarding improvement of the credit risk management strategies of commercial banks and Nepal Rastra Bank respectively. Keywords: Non-performing loans; Credit risk; Commercial banks; Bank-specific determinants; Macroeconomic determinants; Random Effects Model; Panel data.

Abstract

Artificial intelligence (AI) is increasingly used in higher education, but evidence on the factors associated with adoption by undergraduate management students in Nepal remains limited. This study examines associations between awareness of AI tools, digital literacy, internet accessibility, social influence, and self-reported AI adoption among 300 undergraduate management students recruited by convenience sampling in Rupandehi District. Cross-sectional questionnaire data were analyzed using partial least squares structural equation modeling (PLS-SEM), importance-performance map analysis (IPMA), and necessary condition analysis (NCA). In the reported structural model, awareness of AI tools (coefficient = 0.816, p < 0.001) and digital literacy (coefficient = 0.109, p = 0.047) were positively associated with AI adoption, while internet accessibility (coefficient = -0.098, p = 0.001) and social influence (coefficient = -0.102, p = 0.038) were negatively associated. The model R-squared was 0.749. Given the cross-sectional convenience sample, these findings are associations and should not be generalized beyond the sample without caution. Keywords: Artificial intelligence adoption, digital literacy, internet accessibility, awareness of AI tools, social influence.

Abstract

Customer retention is important to the long-term viability of life insurers. This study examines associations between premium affordability, trust in the insurer, customer satisfaction, perceived value, claim settlement efficiency, and customer retention among life insurance policyholders in Rupandehi District, Nepal. Survey data from 361 policyholders recruited through convenience sampling were analyzed using descriptive statistics, PLS-SEM, IPMA, and NCA. The reported structural model indicates positive and statistically significant associations for claim settlement efficiency (coefficient = 0.847, p < 0.001), premium affordability (coefficient = 0.265, p < 0.001), trust (coefficient = 0.210, p < 0.001), and perceived value (coefficient = 0.107, p = 0.012). Customer satisfaction has a positive but not statistically significant association (coefficient = 0.089, p = 0.067). The model R-squared is 0.761. Because the study is cross-sectional and uses a convenience sample, the results should be interpreted as sample-specific associations rather than causal effects or population estimates. Keywords: Trust of insurance company, Premium affordability, Claim settlement efficiency, Life insurance, Customer retention.

Abstract

Youth entrepreneurship has been seen as a key solution to the unemployment problem and for economic development in Nepal. The present study attempts to explore the factors that influence the entrepreneurial intention among the youths of the Rupandehi District focusing on family environment, motivation, risk taking propensity and self-concept. A quantitative research design was used and primary data was gathered from 250 youths aged 18-35 years using a structured questionnaire with a seven-point Likert scale. The data was analyzed using Partial Least Squares - Structural Equation Modeling (PLS-SEM). The results show that motivation and self-concept have positive and significant effect on entrepreneurial intention, and family environment and risk-taking propensity have positive but statistically insignificant effect. Among all the predictors, the self-concept was the most strongly predictive of entrepreneurial intention, suggesting that self-confidence and perceived entrepreneurial skills play a crucial role in influencing entrepreneurial aspirations. The model had a high level of explanatory power (74.1%). The measurement model was found to be robust with the use of reliability and validity tests. The study concluded that psychological factors have more influence on entrepreneurial intention of youths than family related and risk-oriented factors in Rupandehi District. The results offer insights for policy makers, educational institutions and entrepreneurship development organizations in developing programs to improve motivation, self-belief and entrepreneurial skills of young people. Keywords: Entrepreneurial intention, motivation, self-concept, risk-taking propensity, family environment.