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Article
Publication date: 8 August 2024

Andi Syathir Sofyan, Ega Rusanti, Nurmiati Nurmiati, Syaakir Sofyan, Robert Kurniawan and Rezzy Eko Caraka

This study aims to determine research performance in Islamic business ethics and explore future research directions from leading articles and scholars.

Abstract

Purpose

This study aims to determine research performance in Islamic business ethics and explore future research directions from leading articles and scholars.

Design/methodology/approach

This paper used bibliometric and content analysis to analyze 250 articles from reputable Scopus and Web of Sciences journals.

Findings

To date, the normative style still dominates Islamic business ethics research. Asian countries such as Malaysia and Indonesia are the center of discussion on Islamic business ethics. This study also suggests that researchers and academics study aspects of the economy that Islamic values have not touched, such as the theme of art, artificial intelligence for labor relations, workers' rights and language.

Research limitations/implications

This research aims to contribute knowledge to Muslims as a reference guide for ethical business behavior. Non-Muslim managers can use this paper as a guide in forming a global company that is pluralistic and respectful of religious communities.

Originality/value

This research makes a scholarly contribution by providing a comprehensive exploration and detailed future research directions in each subtheme of Islamic business ethics.

Details

International Journal of Ethics and Systems, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2514-9369

Keywords

Article
Publication date: 19 October 2012

Muatasim Ismaeel and Katharina Blaim

The purpose of this paper is to explore the opportunities of using halal regulation and certification as a mechanism for applying Islamic business ethics in contemporary world.

8584

Abstract

Purpose

The purpose of this paper is to explore the opportunities of using halal regulation and certification as a mechanism for applying Islamic business ethics in contemporary world.

Design/methodology/approach

The current practices of halal regulation and certification and literature on Islamic ethics were reviewed, to identify a practical approach for Islamic business ethics.

Findings

Islam allows and accepts different levels of ethical commitment. A multi‐level Islamic ethics framework and a multi‐level halal certification approach are proposed to facilitate the implementation of Islamic business ethics in a relative context. Two major developments can enrich halal business practices: harmonization of global standards and governance structure, and integrating responsibility and ethical issues in halal standards.

Practical implications

The proposed framework and developments can enrich halal regulation and certification practice.

Originality/value

The paper emphasizes the importance of flexibility and adaptability in Islamic business ethics implementation, and proposes a new framework and approach to apply Islamic business ethics.

Details

Journal of Management Development, vol. 31 no. 10
Type: Research Article
ISSN: 0262-1711

Keywords

Article
Publication date: 12 June 2017

Murad Mohammed Al-Nashmi and Abdulkarim Abdullah Almamary

In an effort to build a useful conceptual framework that enhances understanding and permits practical application of ethics, this paper aims to understand the relationship and…

2076

Abstract

Purpose

In an effort to build a useful conceptual framework that enhances understanding and permits practical application of ethics, this paper aims to understand the relationship and impact of Islamic marketing ethics on brand credibility. Nowadays, recognizing the ethical dilemmas associated with business is an important aspect of marketing strategy (Murphy et al. 2012). As known, the pharmaceutical industry has access to a deep pool of resources with the potential to maintain an esteemed reputation for offering innovative products that improve the public’s health and well-being (Kim and Ball, 2013). However, recent years have yielded several high-profile safety issues associated with particular medications along with a growing perception that pharmaceutical companies are unethical and drive up healthcare costs by prioritizing profits over consumer needs (USA Today/KFF/Harvard SPH, 2008). Therefore, the reputation of the pharmaceutical industry has been damaged with only 11 per cent of individuals considering pharmaceutical companies to be trustworthy (Harris Interactive Poll, 2010). Thus, the pharmaceutical industry in Yemen is the target of this paper and the relationship between its brands’ credibility and Islamic marketing ethics has been highlighted.

Design/methodology/approach

In a study of 106 respondents, exploratory and confirmatory factor analysis were conducted to understand the relationship, between brand credibility and Islamic marketing ethics. Correlation and regression analyses were performed to evaluate the hypothesized relationships between the variables.

Findings

Significant and positive relationships were confirmed between brand credibility and Islamic marketing ethics, namely, Annasihah, Al-Istiqamah, Al-E’etedal, Al-Ihsan, As-Sidq, Attaqwa and Al-Amanah. The eighth Islamic marketing ethic, Attasamoh, has been rejected.

Originality/value

The paper evaluates brand credibility in relation to Islamic marketing ethics in the pharmaceutical industry in Yemen. Islamic marketing ethics have been confirmed as a new variable that correlates with brand credibility and helps in boosting the level of credibility.

Details

Journal of Islamic Marketing, vol. 8 no. 2
Type: Research Article
ISSN: 1759-0833

Keywords

Article
Publication date: 26 June 2024

Yenti Afrida, Harif Amali Rivai, Laura Syahrul and Hendra Lukito

This paper aims to investigate Islamic work ethics and adaptability towards change readiness of Islamic Bank employees in Indonesia with commitment as a mediating variable. This…

Abstract

Purpose

This paper aims to investigate Islamic work ethics and adaptability towards change readiness of Islamic Bank employees in Indonesia with commitment as a mediating variable. This study focuses on the Sharia banking industry, which is facing transformation from Sharia business units to Sharia commercial banks by preparing its human resources, thus minimizing resistance.

Design/methodology/approach

This study is based on a survey of 135 Bank Syariah Indonesia employees via an online questionnaire. PLS-SEM is used to analyze data and test hypotheses using SMART-PLS.

Findings

The results of the study show that adaptability does not have a positive and significant effect on readiness for change in Indonesian Sharia banks and organizational commitment. Meanwhile, Islamic work ethics have a positive and significant effect on the change readiness of Islamic bank employees in Indonesia as well as organizational commitment. This study also found that organizational commitment mediates the impact of Islamic work ethics on the change readiness of Islamic bank employees in Indonesia.

Research limitations/implications

This research uses a sample of employees at Sharia commercial banks (BUS) in Indonesia, so it is still limited to certain types of banks. Future research needs to test the model in different contexts, such as banks that still have Sharia business unit (UUS) status. In addition, further research needs to use other variables such as leader support for transformational change readiness. Future research also needs to control more variables and use a more complex scale than a binary scale (e.g. percentage of share ownership or area within a province or district/city). This study recommends that employee change readiness is very necessary to avoid resistance and resistance to the transformation and acceleration of Sharia banking in Indonesia.

Originality/value

This research looks at employee readiness for change in Indonesian Sharia banks through the lens of adaptability Islamic work ethics and organizational commitment.

Details

Journal of Islamic Marketing, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1759-0833

Keywords

Article
Publication date: 6 August 2019

Aamir Abbas, Qasim Ali Nisar, Mahmood A. Husain Mahmood, Abderrahim Chenini and Ahsan Zubair

Islamic marketing ethics focus on the principles of equity, justice and value maximization for the welfare of society. These ethics play a vital role in elevating the standards of…

2928

Abstract

Purpose

Islamic marketing ethics focus on the principles of equity, justice and value maximization for the welfare of society. These ethics play a vital role in elevating the standards of customer behavior. The strategy of focusing customer is now considered as important element because of rapidly changing marketing trends in Islamic banks. Therefore, the purpose of this study is to find out the important features of Islamic marketing ethics and identify their effect on customer’s satisfaction in Islamic banking.

Design/methodology/approach

This study is descriptive and quantitative. Data were collected from 1000 customers of Islamic banks by applying convenient sampling technique. Smart PLS was used to check the scale validation by confirmatory factor analysis. To test the hypotheses, structural equation modeling technique was used.

Findings

Results enlightened that Islamic marketing ethics play a significant role in enhancing the customer’s satisfaction. Islamic banks should focus on marketing mix along with Islamic and ethical perspectives to improve the customer’s satisfaction level.

Practical implications

This study highlighted that Islamic marketing ethics have great impact on customer satisfaction. Therefore, Islamic banks need to concentrate on the ethical perspective of Islamic marketing in order to develop long term customer relationships. Islamic banks need to revise their marketing practices, and they should align their marketing tactics with ethical Islamic boundaries. They need to design, communicate and enforce the code of Islamic ethics within organizations.

Originality/value

This paper fulfills an identified need to study how Islamic marketing ethics effect customer satisfaction.

Details

Journal of Islamic Marketing, vol. 11 no. 4
Type: Research Article
ISSN: 1759-0833

Keywords

Article
Publication date: 20 January 2020

Muhammad Adli Musa, Mohd Edil Abd Sukor, Mohd Nazari Ismail and Muhd Ramadhan Fitri Elias

The purpose of this paper is to empirically examine the perception of Islamic bank employees in Malaysia and selected Gulf Cooperation Council (GCC) countries, namely, Bahrain…

1683

Abstract

Purpose

The purpose of this paper is to empirically examine the perception of Islamic bank employees in Malaysia and selected Gulf Cooperation Council (GCC) countries, namely, Bahrain, Oman and the UAE, on various issues related to Islamic business ethics and the practices of the Islamic banks at which they work.

Design/methodology/approach

The required data to determine Islamic bank employees’ ethical perceptions is sourced from 144 completed survey questionnaires and interviews with 12 Islamic bank senior executives. Islamic model of normative business ethics is used to measure the relationship between attitudes and behaviours of employees and the ethical practices of Islamic banks.

Findings

Results show that the Islamic bank personnel working in Malaysia and the GCC perceived that their banks conform to Islamic ethical norms in business. These banks were seen to be concerned with their impact on society, and ethics prevailed over profit-maximisation. The findings also suggest that despite being less regulated compared to Malaysia, Islamic bank personnel in GCC had a better impression of the ethical standard practised in their institutions compared to the feedback given by their Malaysian counterparts. Additionally, this research also proves that, in general, there is a positive correlation between attitudes and behaviours of employees and the ethical practices of Islamic banks.

Research limitations/implications

The main limitation of the study is that the respondents were not selected randomly but rather through a convenient sampling of personal contacts. Despite the inherent limitation of the sampling method because of the constraints of time and resources, the large number of respondents from 12 different banks are representative of the Islamic bank employees in Malaysia and the GCC.

Practical implications

The findings may serve as a useful input for Islamic financial institutions in improving their practices to conform with Islamic ethical norms.

Originality/value

The topic of Islamic business ethics and the practices of Islamic banks have not been fully understood by its stakeholders. This paper aims to give insights on how far Islamic bank business practices in Muslim majority societies fit with the prescribed business framework in Islam and its contributing value for both the organization and employees.

Details

Journal of Islamic Accounting and Business Research, vol. 11 no. 5
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 8 April 2022

Edi Suandi, Herri Herri, Yulihasri Yulihasri and Syafrizal Syafrizal

This paper aims to investigate the influence of Islamic marketing ethics and convergence marketing on competitive advantage and bank performance.

1176

Abstract

Purpose

This paper aims to investigate the influence of Islamic marketing ethics and convergence marketing on competitive advantage and bank performance.

Design/methodology/approach

This study is based on a survey of 204 Indonesian branch managers from the Islamic banking industry. Results were produced with the partial least square approach.

Findings

Results revealed that Islamic marketing ethics and convergence marketing have sufficient confidence to have significant influences on competitive advantage, producing a positive association with a competitive advantage. However, Islamic marketing ethics and convergence marketing did not influence bank performance directly. Competitive advantage positively mediated the relationship. Furthermore, organizational digital literacy did not moderate the relationship between convergence marketing and bank performance.

Research limitations/implications

This study contributes to the conceptualization of convergence marketing and the identification of its effects on competitive advantage and bank performance. The identification of convergence marketing in this dissertation contains dimensions of mobile, security, foreign currency, holistic and interactivity as different aspects from the steps of Islamic banks to digitize their services to the internet in a single application. The results also indicate that convergence marketing does not have a direct effect on bank performance but has an indirect effect through competitive advantage. Convergence marketing must first create a bank advantage over its competitors to have a good effect on bank performance.

Practical implications

This study offers many opportunities for Islamic bank marketers to improve performance. Many Islamic banks currently do not implement Islamic marketing ethics consistently and thoroughly. The results of this study encourage Islamic banks by showing that the more intensive and consistent they are in implementing Islamic marketing ethics, the better their competitive advantage and the higher the performance. This effort can be done in various ways, such as offering tariffs/ratios of services transparently to customers, not exaggerating the benefits of the products offered to distort customer expectations, building brands that can strengthen customer confidence in Islamic banks and only offering products and services with high-quality standards.

Limitation and future research

This study uses a sample of Islamic banking so that it is still limited to certain types of banks. Future research needs to conduct model testing in different contexts such as conventional banking. In addition, further research needs to use the capabilities or capabilities of bank IT as a moderator in the effect of convergence marketing on bank performance. Future research also needs to control for more variables and use a scale that is more complex than the binary scale (for example, the percentage of share ownership or territory in the scope of the province or district/city).

Originality/value

This research views the Islamic bank competitiveness through the lenses of Islamic ethical theory and convergence marketing theory.

Article
Publication date: 8 February 2016

Saeed Hameed Aldulaimi

This paper debates the Islamic perspective on the work ethics employed in an organization. It aims to discuss the issues of assumptions involving the Islamic Work Ethic (IWE)…

4631

Abstract

Purpose

This paper debates the Islamic perspective on the work ethics employed in an organization. It aims to discuss the issues of assumptions involving the Islamic Work Ethic (IWE). Therefore, this paper addresses the gap in the management literature and suggests a group of dimensions from fundamentals of Islam.

Design/methodology/approach

The paper reviews the foundations of IWE and investigates various empirical studies conducted in several countries. Then, briefly presents a short historical and conceptual review of the work ethic construct, suggests a general conceptual definition of work ethic, and offers multidimensional model including a series of constructs which can enable researchers to evaluate and measure work ethic in Islamic societies.

Findings

The study reveals that there is an evidence of ethics formulation depending on Islamic literature which constructs Islamic values for work. This paper proposes new perspective about the right ethics of work in Islam. Further, multidimensional model including 18 dimensions has been developed to evaluate work ethic in Islamic societies.

Research limitations/implications

This field needs to reconsider the constructs of IWEs where it is far from reflecting Islamic theory. This paper presents new dimensions which can be utilized to enrich this area.

Originality/value

This is one of the few attempts to suggest the appropriate constructs of IWE in the management literature. It provides 18 elements responsible and have the promise to strengthen individual transparency and morally which eventually enhance economic progress in Islamic world.

Details

Journal of Islamic Accounting and Business Research, vol. 7 no. 1
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 9 July 2024

Shinaj Valangattil Shamsudheen, Shamsher Mohamad, Aishath Muneeza and Ziyaad Mahomed

This paper aims to portray the publication pattern, key themes, study trends and future directions for the studies on ethics in Islamic finance. A total of 194 published documents…

Abstract

Purpose

This paper aims to portray the publication pattern, key themes, study trends and future directions for the studies on ethics in Islamic finance. A total of 194 published documents that includes journal articles, books and book chapters and conference proceedings were screened for the period 1988 to August 2022 and categorized based on designated sectors of the Islamic finance industry. This paper also highlights the change in research trends in all three sectors of Islamic finance and suggests possible areas for future research.

Design/methodology/approach

A comprehensive systematic literature review was conducted using the “advanced search” function of “google scholar” by using the option “find articles” with the keywords “Ethic (s/al)”, “Islamic banks”, “Islamic banking”, “Islamic finance”, “Islamic capital markets” Takaful, Islamic insurance without restricting the time frame, author list and the platform. Furthermore, the search for relevant articles was conducted on other mainstream index databases such as “Web of Science” and “Scopus”.

Findings

Among the highlights of the findings were an increase in publications on ethical issues after the global financial crisis and an increase in publications in high-impact mainstream business and finance journals. A higher number of studies were documented in the area of Islamic banking and finance followed by Islamic capital markets and Islamic insurance/Takaful. Although a greater number of empirical studies were published than conceptual studies, dominance was resulted due to the replication of the studies in various jurisdictions based on the same concepts or models rather than applying diversified concepts in various jurisdictions.

Originality/value

This study contributes to the growing literature on ethical and/or Islamic finance as a guide for researchers to identify research gaps and provides a systematic direction for future studies in the area of ethics in Islamic finance.

Details

Journal of Islamic Accounting and Business Research, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 15 February 2021

Tony Wijaya, Moh Nasuka and Anas Hidayat

The development of the banking industry is encouraging increasingly fierce competition. In the face of banking competition, Islamic banks need to build customer loyalty by paying…

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Abstract

Purpose

The development of the banking industry is encouraging increasingly fierce competition. In the face of banking competition, Islamic banks need to build customer loyalty by paying attention to ethical aspects. Ethics has an essential role in forming and preserve relationships between companies and customers in the long term. The measurement model of salesperson ethical behavior in this study was built using the Islamic-based marketing concept. This study aims to test empirical models of Islamic ethics-based salesperson behavior in increasing customer loyalty of Islamic banks through the aspect of customer trust.

Design/methodology/approach

Research data were obtained from 165 Islamic bank customers in the Central Java, Indonesia, using the purposive sampling method. Data analysis in this study uses structural equation modeling.

Findings

The study shows that the Islamic ethics-based salesperson behavior has a positive effect on customer trust in a salesperson, customers’ trust in Islamic banks and customer loyalty. Customer trust in a salesperson has positively and significantly influenced customer trust in Islamic banks and customer loyalty. Customer trust in Islamic banks has a positive and significant effect on customer loyalty.

Practical implications

This study’s results are expected to be used to reference maintenance salesperson in Islamic banking to behave based on Islamic principles. Islamic marketing principles need to be applied through salespersons behaving realistically (al-Waqi’iyyah) and humanistic concepts (insaniyyah). The application of Islamic ethics can limit and avoid deviant behavior from salespeople that is detrimental to consumers and organizations. The behavior of salespeople based on Islamic ethics will build consumer trust in both organizations and salesperson so that it has implications for consumer loyalty.

Originality/value

This paper provides new findings to understand Islamic banking consumer loyalty that focuses on Islamic ethical salesperson behavior point of view. This paper also presents a new measurement of research variables from an Islamic perspective in examining the role of Islamic ethics-based salesperson behavior toward banking customer loyalty. This study takes the object of research in Islamic banking that has different characteristics from conventional financial institutions.

Details

Journal of Islamic Marketing, vol. 13 no. 7
Type: Research Article
ISSN: 1759-0833

Keywords

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