Generation Z and Consumption: How Communication Environment Shapes Youth Choices

Abstract

Using smart applications, members of Generation Z communicate in their networks on a wide‏ range of issues, which forms their social sensitivity and makes impact on their consumption. The article‏ focuses on Generation Z in Central and East Europe (CEE) where youth as a share of the total population is‏ the smallest in the world. This study investigates Generation Z in Lithuania, one of the CEE countries, and‏ presents the results of a large-scale survey of youth which analyses the expression of consumption and‏ its interconnection with characteristics formed by social media. There are three main characteristics that‏ explain consumption by Generation Z: cultural tolerance, social tolerance and tolerance to otherness on‏ the network. This threefold theoretical model was proved using the Structural Equation Model (SQM). On‏ the basis of this test we found out that social mindset is the strongest mediator between communication‏ environment and consumption by Generation Z. At the same time, communication environment‏ motivates for self-reward and hedonic consumption which does not compete and goes along with the‏ social mindset. We conclude that Gen Z is a new group in consumer society that is distinctive by its unique‏ characteristics.

Keywords

• consumptions
• youth
• generation z
• communication
• social mindset
• structural equation model (sqm ) test