Implication of Financial Behavior of Entrepreneurs in Brazil

This study analyzed the effect of financial behavior on compulsive buying, indebtedness, and materialism among entrepreneurs in Brazil. The research, of a descriptive nature, employed a data survey with 149 Brazilian entrepreneurs, applying confirmatory factor analysis, correlation, and linear regression techniques using SPSS software. The term "entrepreneur" was used broadly, without distinguishing between specific types such as individual microentrepreneurs (MEI), startups, or executives, in order to encompass a wider range of entrepreneurs who identify as such, particularly on social networks like LinkedIn. The results indicated that entrepreneurs’ financial behavior does not significantly impact indebtedness or materialism, but there is a relationship between financial behavior and compulsive buying. Entrepreneurs with higher financial literacy tend to be less prone to this behavior. Compulsive buying, in turn, was found to be related to both indebtedness and materialism. The study suggests that financial literacy programs for entrepreneurs should adopt a holistic approach, integrating technical, behavioral, and psychological aspects, with a focus on reducing compulsive buying. This could help decrease indebtedness and materialism, promoting more balanced and sustainable financial management. The findings also provide a foundation for the development of public policies aimed at the financial well-being of entrepreneurs in Brazil. The contribution of this study lies in integrating different factors that affect entrepreneurs’ financial behavior, offering a broader and more contextualized understanding of this group.