Spending Behaviour of a Case of Asian University Students

Abstract

Recently, interest in exploring professional financial issues mainly money management was shown to be highly increased due to the societal awareness of its benefits. The skill of money management is a major tool in exercising control over them to obtain quality life as working adults. Stratified random sampling was used to examine the spending patterns of student population at one of Malaysia universities. Due to the habit of student expenditures on campus which was shown to influence the way money is managed through their lives. Taking a look at literatures from researchers outside Malaysia, it can be seen that financial literacy among students is required to restrain future problems that may arise from lack of knowledge on individual financial management. This study emphasizes the need on financial literacy awareness among the students looking into their background, financial awareness, attitude and family. Data analysis show that majority of the students do not put to practice correct skill in money management.

Spending profiles of sultan idris education university undergraduates: a CHAID-based segmentation

“…The study also aims to rank ten most incurred spending categories by students from six faculties. Results indicated that five most incurred expenses were for hygiene products, study materials, telecommunications products and services, clothing and health products which aligned with Sorooshian and Teck (2014). Using CHAID, several average spending amounts were generated according to classifications that were based on eleven predictor variables.…”

“…To determine type of expenditure, there were 16 expenditure types listed and respondents were asked to tick as many types of expenditures they incurred. The types of expenditures were gathered from various sources (Deloitte, 2019;Moody, 2018;OnCampus Research, 2018;Singh et al, 2018;Sorooshian & Teck, 2014) Data were analysed using SPSS version 22.0. To serve the first objective, which is to identify five most incurred spending categories by students, frequencies for each category were generated and ten categories with the most tick (√), were selected.…”

“…While another survey, found that top five spending of US College students are restaurants, trips/travel, beauty, bars and fashion (eMarketer, 2014). Whilst, Malaysian college students exhibited top spending on fast food, telecommunication services, entertainment, clothing and shoes (Sorooshian & Teck, 2014).…”

“…Zendehdel, Paim, and Osman (2015) found that online shopping is widespread among university student in Klang Valley area. Meanwhile, Sorooshian and Teck (2014) documented phone expenses as significant spending for Taylor University students. Other studies include examining factors influencing spending behaviour, (Muniady et al, 2014), luxury product purchasing (Ayupp, Ling, & Tudin, 2013), criteria for mobile phone purchasing (Mokhlis & Yaakop, 2012) and overall use of education fund (Abdullah & Ibrahim, 2007;Ismail & Zainal, 2004).…”

“…Majority of these students were funded by education loans, whilst those with academic achievements and other fields may have been offered scholarships and others sponsored by parents (Norhaslinda Daud, Norlia Mat Norwani, Rohaila Yusof, 2018). Issues on whether these funding were spent appropriately may have been brought into the spotlights several times (Beale & Cude, 2017;eMarketer, 2014;Paul, Nolan, & Smith-Hunter, 2017;Sorooshian & Teck, 2014;Wang & Xiao, 2009). Concerns in regards to the sufficiency of these financial aids and how it was utilized, were given many attentions (Abdullah & Ibrahim, 2007;Avery & Turner, 2012;Beale & Cude, 2017;Ismail & Zainal, 2004;Lynch, Best, Gutierrez, & Daily, 2018).…”