The Effect of Cyber-Crime Response Costs on the Development of Financial Products: A Case of NIC Bank of Kenya

Given the fact that the cost of doing business under the new ever changing information communication and technology platform, the question of this this research was whether these costs are deterring banks from operating in this new risky environments and platforms or to what extent are these affecting the rate at which banks are developing new ideas and products that are transacted on an online platform. The research proposal adopted one independent variable to help estimate these effect which included Response costs, and the rate of development and growth of financial products as the dependent variable. The study used a questionnaire where it was administered to establish the effect of these factor. The respondents/ population of this research proposal was 957 bank employees, inclusive of 167 support staff, at NIC bank of Kenya. The study used a case study of the NIC bank of Kenya through purposive. A sample of 10 % out of the bank employees minus the support staff gave a sample size of 80 respondents. The interview guides was to be self-managed to allow for convenience and reliability of the data. A pilot study was done on the area of study in order to measure the validity and reliability of the data collection instrument. The study adopted a descriptive research design where SPSS was used to model the relationship between the various selected variables and test there explanatory power. After the analysis the data was presented through the use of various presentation tools such as graphs pie charts and tables.