INSTITUTIONAL LOGIC AND THE TRANSFORMATION IN THE BANKING SECTOR: FROM TRADITIONAL LOGIC TO FINTECH

Banking institutions are faced with profound changes coming from the development of technology and the consequent entry of a new player in the field: fintech companies, startups focused on financial services, with strong adherence to the digitally native public, as well as those underserved by traditional banks. From the approach of institutional logic, and the combination of document analysis and in-depth interviews, we contribute with the knowledge of how banks are being able to combine the previously dominant traditional logic and fintech logic into a hybrid model. The analysis shows how traditional banks absorb fintech practices and how the introduction of fintechs in the field promotes changes not only in the banking sector, but also in other spheres. The interaction of the logics that shape this change emphasizes a unidirectional dynamic, in which only the logic of fintechs influencing the traditional banking logic was observed.