Abstract: Lack of information related to bad debt market participation behavior of seller which can lead to mistakes in policy making and building business strategy, so that, the purpose of this study is to analyze the influential factors on bad debt market participation behavior of seller which can provide useful information for organizations and individuals in policy making process and building business strategies. To do so, the study has introduced an empirical analysis model and then apply its for analyzing. Data used for research purposes was collected through building a hypothetical scenario to consult the respondents about their market participation behavior. The research results have also, indicated that the market entering behavior of seller has been strongly impacted by three groups of factors, including. The factors related to cognitive thinking and behavioral change; the factors reflecting the charateristics of bad debts; the factors of macroeconomic environment and legal framework. So that, in order to stimulate the seller participating the market, it was necessary to set up policy mechanisms and legal framework which that could ensure the rights and legitimate interests of seller, reduce unnecessary procedures when intering in the market. Besides that, it also needed to strengthen propaganda of information which could help sellers search for suitable customers as well as issue regulations on fair debt collection in order to avoid legal violations in the process of bad debts collecting.