Financial literacy and behavior in student financial planning action: the role of SECI strategy

Research on the relationship between financial literacy, financial behavior, and financial planning actions (FPAs) in Malaysia is limited, with existing studies focusing mainly on financial well-being. This gap is concerning given the rising trend of bankruptcy and debt issues among young Malays...

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Main Authors: Adilah A. Wahab, Wan Marhaini Wan Ahmad, Aimi Syahirah Abu Hashim, Mas Nordiana Rusli
Format: Article
Language:English
Published: Penerbit Universiti Kebangsaan Malaysia 2024
Online Access:http://journalarticle.ukm.my/25191/
http://journalarticle.ukm.my/25191/1/Pengurusan_72_4.pdf
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author Adilah A. Wahab,
Wan Marhaini Wan Ahmad,
Aimi Syahirah Abu Hashim,
Mas Nordiana Rusli,
author_facet Adilah A. Wahab,
Wan Marhaini Wan Ahmad,
Aimi Syahirah Abu Hashim,
Mas Nordiana Rusli,
author_sort Adilah A. Wahab,
building UKM Institutional Repository
collection Online Access
description Research on the relationship between financial literacy, financial behavior, and financial planning actions (FPAs) in Malaysia is limited, with existing studies focusing mainly on financial well-being. This gap is concerning given the rising trend of bankruptcy and debt issues among young Malaysian employees. Understanding how financial literacy and behavior impact FPAs is crucial, particularly for individuals transitioning from academic to professional financial responsibilities. This paper examines these relationships among 1,105 undergraduate students in Malaysia. Using Ordinary Least Squares (OLS) regression, the study finds significant positive relationships between financial literacy, financial behavior, and FPAs, consistent with human capital and reasoned action theories. Additionally, it explores the moderating role of Socialization, Externalization, Combination, and Internalization (SECI) strategies. The results highlight that parental guidance, personal finance websites, and college information effectively moderate the relationship between financial literacy, financial behavior, and FPAs. Financial workshops also significantly moderate the relationship between financial behavior and FPAs. Overall, the findings demonstrate that both financial literacy and behavior are critical factors influencing FPAs among undergraduate students, emphasizing the need for effective financial education and support.
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spelling oai:generic.eprints.org:251912025-05-08T02:59:06Z http://journalarticle.ukm.my/25191/ Financial literacy and behavior in student financial planning action: the role of SECI strategy Adilah A. Wahab, Wan Marhaini Wan Ahmad, Aimi Syahirah Abu Hashim, Mas Nordiana Rusli, Research on the relationship between financial literacy, financial behavior, and financial planning actions (FPAs) in Malaysia is limited, with existing studies focusing mainly on financial well-being. This gap is concerning given the rising trend of bankruptcy and debt issues among young Malaysian employees. Understanding how financial literacy and behavior impact FPAs is crucial, particularly for individuals transitioning from academic to professional financial responsibilities. This paper examines these relationships among 1,105 undergraduate students in Malaysia. Using Ordinary Least Squares (OLS) regression, the study finds significant positive relationships between financial literacy, financial behavior, and FPAs, consistent with human capital and reasoned action theories. Additionally, it explores the moderating role of Socialization, Externalization, Combination, and Internalization (SECI) strategies. The results highlight that parental guidance, personal finance websites, and college information effectively moderate the relationship between financial literacy, financial behavior, and FPAs. Financial workshops also significantly moderate the relationship between financial behavior and FPAs. Overall, the findings demonstrate that both financial literacy and behavior are critical factors influencing FPAs among undergraduate students, emphasizing the need for effective financial education and support. Penerbit Universiti Kebangsaan Malaysia 2024 Article PeerReviewed application/pdf en http://journalarticle.ukm.my/25191/1/Pengurusan_72_4.pdf Adilah A. Wahab, and Wan Marhaini Wan Ahmad, and Aimi Syahirah Abu Hashim, and Mas Nordiana Rusli, (2024) Financial literacy and behavior in student financial planning action: the role of SECI strategy. Jurnal Pengurusan, 72 . pp. 1-14. ISSN 0127-2713 https://www.ukm.my/jurnalpengurusan/volume-main/vol-2/
spellingShingle Adilah A. Wahab,
Wan Marhaini Wan Ahmad,
Aimi Syahirah Abu Hashim,
Mas Nordiana Rusli,
Financial literacy and behavior in student financial planning action: the role of SECI strategy
title Financial literacy and behavior in student financial planning action: the role of SECI strategy
title_full Financial literacy and behavior in student financial planning action: the role of SECI strategy
title_fullStr Financial literacy and behavior in student financial planning action: the role of SECI strategy
title_full_unstemmed Financial literacy and behavior in student financial planning action: the role of SECI strategy
title_short Financial literacy and behavior in student financial planning action: the role of SECI strategy
title_sort financial literacy and behavior in student financial planning action: the role of seci strategy
url http://journalarticle.ukm.my/25191/
http://journalarticle.ukm.my/25191/
http://journalarticle.ukm.my/25191/1/Pengurusan_72_4.pdf