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This paper aims to address the factors associated with a propensity for halal entrepreneurship among small and medium enterprise (SME) entrepreneurs.

Data were gathered from SMEs in Malaysia by conducting a survey with 209 respondents. Data were analyzed with the partial least squares technique.

Results indicated that halal entrepreneurship, intrinsic motivation, effort to seek out opportunity, perceived desirability, peer influence, perceived feasibility and perceived governmental support significantly affected halalpreneurial propensity among SME entrepreneurs. On the other hand, the effects of creativity and innovation, honesty and integrity, risk taking attitude, relative advantage and family supports on halalpreneurial propensity were not supported.

Through identification of the motivational factors to be recognized as a halapreneurs, policyholders in Malaysia would be able to successfully promote halal entrepreneurship in this country. In this regard, policymakers can adjust their tactics and strategies in a way which encourage halal entrepreneurship among SME entrepreneurs.

This study aimed to serve as an initial step in understanding the cognitive process of SME managers in embarking on halal business.

The purpose of this paper is to examine how Halal entrepreneurs perceive success and accordingly develop a novel scale to measure Halal entrepreneurship success.

A sequential mixed methodology was used to develop the Halal entrepreneurship success scale (HESS). The qualitative phase began with a literature review to gain insights into (Halal) entrepreneurship success and identify gaps. Ten respondents were then interviewed to understand how they perceive success. The scale items were then generated based on insights from the literature and the interview findings. The quantitative phase was carried out in two cycles. In the first cycle, a questionnaire was developed and pilot data were collected from a representative sample of 100 respondents. In the second cycle, the revised scale was tested on 300 respondents to confirm its final items and dimensions. Exploratory factor analysis and confirmatory factor analysis were used in the quantitative phase.

The final HESS scale contains 24 items divided into four dimensions: Islamic success (seven items), economic success (six items), social success (five items) and environmental success (six items).

This scale is perhaps the first to measure entrepreneurial success in its association with religion. It is expected to be a useful contribution to entrepreneurship theory and the Halal industry. The paper presents a foundation for future works on how to define the measures of success of Halal entrepreneurs.