Literature Review

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Modernizing Delivery Tools to Improve College of Business Students’ Financial Literacy

Xiaoqing Nie

Department of Business, San Francisco State University

BUS 300GW: Business Communication for Professionals

Dr. Sue Leong

June 4, 2021

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Modernizing Delivery Tools to Improve College of Business Students’ Financial Literacy

The article titled “Improving financial literacy in college of business students:

modernizing delivery tools," experiments to develop and test online teaching modules that can

better help to improve financial literacy in the college of business students (Kuntze, Wu, &

Whang, 2018). Understanding financial literacy has remained a significant social problem among

individuals that challenges their growth in the professional business market. According to

researches, individuals are overconfident about their concepts of financial literacy that, in the

end, shapes risky behaviors. Financial literacy is challenging students more than anything

because they face the burden of student loans and credit cards.

Because of this burden, college students' scores lower in financial literacy. Even those

with a business major fall behind in financial literacy because of insufficient knowledge of

finance management or personal finance management. The purpose of the research is to help

individuals make informed financial decisions that will help them manage their financial

resources carefully without getting into debt. The comparison of understanding of financial

literacy among primary business students and those who are studying marketing and different

other subjects reveals that the majority of students both from business majors and other

disciplines lack a basic understanding of financial literacy.

The study aims to promote theoretical and conceptual literature to improve understanding

of financial literacy among college students and young people to ensure they are utilizing

financial literacy concepts to make decisions. The target population of the study is college

students, particularly college of business students. There was 244 college of business students

who were given literacy tests to evaluate their understanding of financial literacy and

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differentiate the impact of students' knowledge from those unaware of the concept of financial

literacy yet.

To evaluate the impact of online lectures on financial literacy, an experiment has been

conducted in which half of the students were exposed to a 67 min long video. Students were

asked to watch the video to evaluate the impact of these lectures on students' perceptions.

Research reveals that video interventions were the most successful interventions to bring positive

change.

The study has been conducted at the college of business and the private southeast school

to evaluate the understanding of financial literacy among individuals with a business major. The

study aims to look at the concept of business students and then compare their performance with

those who opted for other majors. The difference was not huge because most students at the

college level are weak in mathematics and statistics that impact their daily practices. The

research study indicates that in most schools, finance, financial skills development, and

understanding of basic concepts itself expelled after school that impacts students' knowledge and

use of these concepts.

The qualitative analysis approach interprets the information collected from 244 students

and their exposure to video lectures. The analysis and numerical interpretation of the collected

data reveal that video lectures were practical to help students learn about financial literacy. The

introduction of financial literacy is also crucial because it allows students to work according to

their needs in a college. Using credit cards and bank accounts shouldn’t be their priority, but

evaluating how to use these resources efficiently should also be reviewed.

The study is raising awareness about a crucial modern-day problem. Because of the

increase in education expenses and tuition fees, students face issues regarding the management

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of finances and fail to keep everything on track. That, in the end, left them in debt and loan.

Thus, to avoid this problem, students must learn the concept of financial literacy and utilize skills

to manage their finance. For business students, it would be easy to understand and absorb these

concepts, while for other students, it would be a bit difficult to understand financial concepts.

However still, they should be motivated to engage in lecture videos and collaborate with

marketing and finance professors to learn literacy and theoretical concepts regarding finance

management.

To sum up, the research study is informative and exciting for students and young

individuals facing problems regarding financial management. Through video sessions or physical

lessons in class regarding financial literacy, marketing, and finance, courses could help students

learn and use them in their daily life activities.

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Reference

Kuntze, R., Wu, C. K., Wooldridge, B. R., & Whang, Y. O. (2018). Improving financial literacy

in the college of business students: Modernizing delivery tools. International Journal of

Bank Marketing, 37(4), 976-990. https://doi.org/10.1108/IJBM-03-2018-0080