Linkages Between Credit Cards and Consumers’ Impulsive Buying Behavior : An Empirical Analysis

Authors

  •   Amit Kumar Singh Professor, Department of Commerce, Faculty of Commerce and Business, Delhi School of Economics, University of Delhi, Delhi - 110 007
  •   Sandeep Kumar Goel Associate Professor, Department of Commerce, Acharya Narendra Dev College, University of Delhi, Govindpuri, Kalkaji, New Delhi - 110 019
  •   Rohit Kumar Shrivastav Assistant Professor, Department of Commerce, Dr. Bhim Rao Ambedkar College, University of Delhi, Yamuna Vihar, Delhi - 110 094
  •   Kritika Chahar MBA (IB) Student (Final Year), Department of Commerce, Faculty of Commerce and Business, Delhi School of Economics, University of Delhi, Delhi - 110 007

DOI:

https://doi.org/10.17010/aijer/2021/v10i4/168221

Keywords:

Credit Card

, Plastic Money, Reward Points, Convenience, Impulsive Buying Behavior, Debt, Random Forest Technique, Plastic Money.

JEL Classification Codes

, D6, E4, G2, G4, M2, P0.Paper Submission Date, June 10, 2021, Paper Sent Back for Revision, November 5, Paper Acceptance Date, November 15, 2021.

Abstract

The demand for credit cards in the Indian banking sector has been increasing in the last few years. In its most basic form, a credit card scheme is a method of obtaining credit through rental transactions in which the cardholder can purchase on credit up to the amount agreed upon with the credit card business by using the card rather than cash. This paper focused on understanding whether credit cards help consumers save or put them under debt. It further built a model that will help detect the defaulters in the real world. The paper adopted a conclusive research design with a questionnaire-based research method and collected data from 184 respondents. The random forest technique was applied to analyze the data. The results indicated that customers who did not manage their funds had high chances of falling into the trap of debt, and there was a strong correlation between variables such as repayment of previous bill, billing amount, and payment of present bills. These variables were found to be relatively stronger together in predicting about the customers.

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Author Biographies

Sandeep Kumar Goel, Associate Professor, Department of Commerce, Acharya Narendra Dev College, University of Delhi, Govindpuri, Kalkaji, New Delhi - 110 019

ORCID iD : https://orcid.org/0000-0002-2120-2870

Rohit Kumar Shrivastav, Assistant Professor, Department of Commerce, Dr. Bhim Rao Ambedkar College, University of Delhi, Yamuna Vihar, Delhi - 110 094

ORCID iD : https://orcid.org/0000-0001-7179-3608

Kritika Chahar, MBA (IB) Student (Final Year), Department of Commerce, Faculty of Commerce and Business, Delhi School of Economics, University of Delhi, Delhi - 110 007

ORCID iD : https://orcid.org/0000-0001-7405-4851

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Published

2022-02-14

How to Cite

Singh, A. K., Goel, S. K., Shrivastav, R. K., & Chahar, K. (2022). Linkages Between Credit Cards and Consumers’ Impulsive Buying Behavior : An Empirical Analysis. Arthshastra Indian Journal of Economics & Research, 10(4), 8–23. https://doi.org/10.17010/aijer/2021/v10i4/168221

Issue

Volume 10, Issue 4, October-December 2021

Section

Articles
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