Household savings pattern in Thailand | |
| Author | Ladda Laiwechpittaya |
| Call Number | AIT RSPR no.SM-06-11 |
| Subject(s) | Home economics--Thailand Saving and investment--Thailand Households--Thailand |
| Note | A research study submitted in partial fulfillment of the requirements for the degree of Master of Business Administration, School of Management |
| Publisher | Asian Institute of Technology |
| Series Statement | Research studies project report ; no. SM-06-11 |
| Abstract | The saving behavior of Thai households after financial crisis is developed because of the household saving rate has dropped sharply from 1989 to 2003. In this study, it looks up Thai households saving pattern and also investigate whether age, education level, and income level affect household savings pattern. The survey results show that Thai households are saving now at more proportion than who are not. Those who are saving they want to save for sickness and old age or precautionary motives as well as for acquiring car, house, or setting up the business. However, the non-savers plan to start saving less than three years from now. Interestingly, the saver and non-saver have the same proportion saving which is less than 20 per cent of their monthly income. Most households tend to save by means of deposit in bank accounts rather than invest in other financial products such as bonds, mutual funds, and stock market even though the real interest rate is negative. Further research also reports that only income and education level affect the proportion saving, age does not effect on this one. Moreover, education level as well as income level affect on the ways household save. As a consequence, financial advisors should educate household by continuously setting seminars and events for non-financial households. They also have to follow up those prospective customers after the events. Importantly, from this survey, life insurance is also interesting product for households. Thus financial advisors have to revise term of contract and benefits of the existing products. The term of contract somehow has to be reduced to short or medium term according to customer type. The key issue for financial advisors is how to read customers' mind in order to deliver them the right products which fit their needs. Moreover, they should be professional advisors more than salespeople |
| Year | 2006 |
| Corresponding Series Added Entry | Asian Institute of Technology. Research studies project report ; no. SM-06-11 |
| Type | Research Study Project Report (RSPR) |
| School | School of Management |
| Department | Other Field of Studies (No Department) |
| Academic Program/FoS | Master of Business Administration (MBA) (Publication code=SM) |
| Chairperson(s) | Kouwenberg, Roy; |
| Examination Committee(s) | Tang, John C.S.;Dimmitt, Nicholas J.; |
| Scholarship Donor(s) | Royal Thai Government Fellowship; |
| Degree | Research Studies Project Report (M.B.A.) - Asian Institute of Technology, 2006 |