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Open Access
Article
Publication date: 25 June 2024

Nourhen Sallemi and Ghazi Zouari

This study examines the impact of external corporate factors (external auditors, insured satisfaction and corporate social responsibility) on the performance (ROA, ROE, ROI) of…

Abstract

Purpose

This study examines the impact of external corporate factors (external auditors, insured satisfaction and corporate social responsibility) on the performance (ROA, ROE, ROI) of takaful providers of distinguishable Muamalah contracts (wakalah and Hybrid).

Design/methodology/approach

The full sample includes 30 Takaful insurance companies listed in Southeast Asia (SEA) and Gulf Cooperation Council (GCC) countries over the period 2011–2021. We use the FGLS method for data analysis.

Findings

Our results reveal that Takaful insurance, which holds one of the Big Four with qualified Shariah members as external auditors, leads to improved performance (ROA, ROE and ROI). In addition, our findings show that Takaful insurance should be concerned with insured satisfaction to determine its success and generate higher performance for both the wakalah and hybrid contracts (ROA, ROE and ROI). Furthermore, Corporate Social Responsibility is considered a source of efficiency that enhances Takaful’s performance for the two types of wakalah and hybrid models (ROA, ROE and ROI).

Practical implications

Some suggestions may be useful for Takaful insurance regulatory authorities to intensify CSR activities, hold one of the Big Four as an external auditor and realize insured satisfaction.

Originality/value

This study highlights that it is beneficial for policymakers, insurers and investors to explore external factors that influence financial performance (return on assets, ROA; return on equity, ROE; return on investment,) in the Takaful insurance market, which uses wakalah and hybrid contracts.

Details

Asian Journal of Accounting Research, vol. 9 no. 3
Type: Research Article
ISSN: 2459-9700

Keywords

Article
Publication date: 16 September 2024

Norhidayah Pauzi, Asbah Razali, Saadan Man, Syed Mohd Jeffri Syed Jaafar and Mohd Hafiz Jamaludin

This study aims to examine attitude, perceived behavioral and religiosity that influence Muslim consumers’ intention in patronizing at food premises with halal logo.

Abstract

Purpose

This study aims to examine attitude, perceived behavioral and religiosity that influence Muslim consumers’ intention in patronizing at food premises with halal logo.

Design/methodology/approach

The data were collected from 450 respondents on random sampling basis. Quantitative analysis was conducted using SEM SMARTPLS version 3.3.

Findings

Based on the findings gathered using PLS analysis with n = 450, it was indicated that attitude, perceived behavioral control and religiosity significantly influence Muslim consumers’ intention on patronizing at food premise with halal logo.

Research limitations/implications

The data collection for the present study was limited to the respondents in Kuala Lumpur among Muslim consumers, and limited to 450 sample sizes.

Practical implications

The presence of halal logo should be crucial in attracting consumers due to the comprehensive meaning it brings.

Social implications

In the context of food premises, the results of the research suggest that the halal logo shown by the food premise seems to operate significantly in attracting Muslim consumers toward the food premises. Muslim consumers need to be nourished by proper Islamic teachings and have a good understanding of halal principle.

Originality/value

The halal logo of food premise concerns the Muslims. Muslim consumers are relying on surrogates in selecting the alternatives for packaged goods in Islamic marketing literature. However, it is little known how Muslims use indicators to select food premises when there is no halal logo.

Details

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

Keywords

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