Key Factors Influencing Investment Intention in China Stock Market

Abstract

This study aims to examine the influence of perceived benefit, perceived risk, subjective norm, financial self-efficacy on China farmers’ stock market investment intention. A quantitative research method is employed to collect data in this study. A total of 392 respondents participate in this study consisting of 251 females and 141 males respondents. The Smart-PLS method is used in the present study to analyze the data since predicting the relationship is the primary objective of the present study. The results obtained from the data analysis indicate that perceived benefit, subjective norm, and financial self-efficacy are positively and significantly related to investment intention, while perceived risk shows no statistically significant influence on investment intention. However, the R square value in this model demonstrated 0.600. In other words, this means that the four independent variables consisting of perceived risk, perceived benefit, subjective norm, and financial self-efficacy can explain 60.0% of the dependent variable, namely investment intention. By exploring the influencing factors of investment intention, this study can provide new ideas for farmers and small entrepreneurs to succeed in stock market investment.