The identifying the factors that would influence in the usage intention of credit card among the malaysian based in their generation's traits

• Main Author: Bong, Tze Nan
• Format: Thesis
• Language: English
• Published: Universiti Malaysia Sarawak, (UNIMAS) 2014
• Subjects: HB Economic Theory
• Online Access: http://ir.unimas.my/id/eprint/8316/3/Bong%20Tze%20Nan.pdf; http://ir.unimas.my/id/eprint/8316/

Since Malaysia had undergone financial liberalization in 1980s, allowing foreign credit card issuers to enter Malaysia’s market in which the availability of credit cards have greatly increased, leading credit cards market started to boom (Loke J. Y., 2007). However, when the market is becoming saturated, its fierce competition force credit card issuers to search for new market segment like the youth market. Unfortunately, the favourable attitude of youth towards credit cards usage has led to indiscriminate consequences such as high credit balance, credit trap, insolvency, and ultimately bankruptcy. Subsequently, Malaysia’s government had taken initiative to reduce the number of insolvency among young adults; however, they tried in vain. Consequently, in this study, we would like to identify the traits of generations instead of personality toward the usage intention of credit cards. Thus, we would discover whether perception on credit, payment practices, pre-planned purchase, materialism, compulsive spending, fashion consciousness, and the one and the only “optimism” that has not been taken into account to investigate whether it will influence the intention to use credit card from generations perspective. Therefore, this study is conducted in Kuching, Sarawak with 320 respondents who completed the questionnaires that we had distributed. Then, the data was analysed by using Factor analysis, one way ANOVA, Pearson correlation, multiple regression model and others. The results show that there is significant difference between intention to use credit card, perception on credit card, credit card payment practices, compulsive buying, fashion consciousness, and optimistic among towards generations; however, insignificant for the variable of materialism. However, the factors above also stated VII that they have significant and positive relationships towards usage intention of credit cards, and other findings will be specified in this study.