The Effect of Implementing Core Banking Services on Profitability: Case Study of All Branches of a Private Bank in Mashhad

Recently, the growth of information technology and increasing competitionamong banks has considerably affected attracting customers. Banking industryhas made great changes to transform into the core banking. The present studyaims to assess the effect of the implementation of core banking services onprofitability. These services, as different branches of electronic banking, areconsisting of internet banking, mobile banking, telephone banking, point ofsale (POS), ATM, and electronic money which are all tested in the currentstudy. In order to test research hypotheses and the existing relationshipbetween variables, needed data has been collected and analyzed through theapplication of stepwise regression model. The achieved findings indicate asignificant relationship between the application of internet banking and ATMand the variable of profitability, while there is no significant relationshipbetween the application of telephone banking, mobile banking, POS, andelectronic money and profitability.

The Effect of Implementing Core Banking Services on Profitability: Case Study of All Branches of a Private Bank in Mashhad Keywords:

Core banking , Electronic banking , Profitability