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Some people get into debt by buying things they don’t need and can’t afford. What are the reasons for this behavior? Wha

Posted: Mon Apr 10, 2017 11:47 am
by kongu.suresh
It is argued that some people are buying unwanted and unaffordable products and get into financial trouble. The main reason for this problem is an excessive advertisement by the companies, and people think that possession of the things is a status symbol, and most viable option for this problem is educating people about the debts and its implication on life.

The primary reason people buying unwanted things is companies innovative way of inducing the customers to purchase a product. The advertisements are ubiquitous and seen from newspaper to the internet and mobile phones informing them about the benefits and features. As a result, many people attracted to the campaign and buying the products even though it may not be needed to them. Furthermore, some people think that owning new products in the market is high status in society, so they buy a product as soon as it launched even if they do not afford it. For Instance, my acquaintance use to buy all the latest gadgets soon after its launches through credit cards and leading money from other people, finally his debt distended to much that he could not able to pay and committed suicide.

To tackle this problem the government should launch a publicity campaign educating people about lending money for purchasing new things and its consequences on life. When people see the advertisement of debt impact of buying new things which they don not afford or wanted alongside new product advert may help them to think before buying it. For example, the government of India had started public outreach program on financial mismanagement and advising people not to purchase a product through credit. As a result, debit purchase had seen a massive decline.

To conclude, advertisement attracts people of buy new products, and education people about debts can address this problem.

Re: Some people get into debt by buying things they don’t need and can’t afford. What are the reasons for this behavior?

Posted: Thu Apr 20, 2017 8:46 pm
by Flick
kongu.suresh wrote: Mon Apr 10, 2017 11:47 am It is argued that some people buy unwanted and unaffordable products and get into financial trouble. The main reason for this problem is excessive advertising by the companies, and people believing that possession of certain products is a status symbol. The most viable solution for this problem is educating people about debt and its implication on life.

The primary reason people buy unwanted things is companies' innovative way of inducing the customers to purchase a product. The advertisements are ubiquitous and seen from newspapers to the internet and mobile phones, informing them about the benefits and features. As a result, many people are attracted to the campaign and buy the product even though it may not be needed by them. Furthermore, some people think that owning new products in the market leads to a high status in society, so they buy a product as soon as it is launched, even if they can not afford it. For Instance, my acquaintance used to buy all the latest gadgets soon after the launch through credit cards and borrowing money from other people. Eventually, his debt ballooned so much that he could not afford to repay it, and committed suicide.

To tackle this problem, the government should launch a publicity campaign educating people about borrowing money for purchasing new things and its consequences on life. When people see the impact of buying new things which they can not afford or need alongside the new product's advert, they may reconsider buying it. For example, the government of India haa started a public outreach program on financial mismanagement and advising people not to purchase products through credit. As a result, these purchases have seen a massive decline.

To conclude, advertisements attract people to buy new products, and educating people about debt can address this problem.