OVERSPENDING BEHAVIOR AND FACTORS INFLUENCING DEBT INCURRENCE THROUGH ONLINE PLATFORMS OF GENERATION Z

Abstract

The objective of this research was to examine the overspending behavior of Generation Z and to investigate the factors influencing online debt incurrence among this group. The sample consisted of individuals from Generation Z. Data analysis was divided into two parts. First, descriptive statistics—including percentage, frequency distribution, mean, and standard deviation—were employed to provide a clearer understanding of the data. Second, inferential statistics were conducted using multiple regression analysis to examine the relationships between dependent and independent variables. The findings revealed that the majority of Generation Z tended to overspend on consumer goods and fashion products equally, accounting for 56.4 percent. Most respondents indicated that they generally had sufficient income for necessary expenses, but occasionally needed to reduce unnecessary expenditures (52.1 percent). The most influential factor contributing to overspending was promotional offers or discounts (50.8 percent). Furthermore, overspending behavior was found to significantly influence online debt incurrence at the 0.05 level of statistical significance. In addition, the attitudes of Generation Z were also found to significantly influence online debt incurrence at the 0.05 level of statistical significance.