The purpose of this paper is to introduce a new framework to measure corporate halal reputation. In this conceptual paper, the “Corporate Halal Reputation Index” is proposed, which acts as predictor for corporate halal reputation and sales in Muslim markets.
This paper builds further on previous work published in the Journal of Islamic Marketing on Islamic Branding. Research propositions are constructed on the drivers and moderating variables of corporate halal reputation.
Halal authenticity, trustworthiness of halal certification body, messages by company and supply chain partners, messages by external stakeholders and the moderating variables category of Islamic brand and sensitivity of product are expected to determine the corporate halal reputation. Alignment between the corporate halal reputation drivers and halal market requirements will be critical for brands to earn and protect their license to operate in Muslim markets.
This conceptual paper proposes that halal authenticity, trustworthiness of halal certification body, messages by company and supply chain partners, and messages by external stakeholders, as well as two moderating variables, are essentially determining the corporate halal reputation. However, empirical research is needed through a case study and survey research to validate the proposed “Corporate Halal Reputation Index” and test these research propositions.
This study shows that corporate halal reputation management is different from conventional corporate reputation management. The corporate halal reputation index should be measured and included in balanced scorecards at top management level.
The “Corporate Halal Reputation Index” is envisioned to be the new key performance indicator for both the top management and halal committee (halal management team) operating in Muslim markets. As there is an evident lack of academic research in the field of corporate halal reputation management, it provides an important reference for corporate communication and Islamic branding and marketing.
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