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Article
Publication date: 22 November 2024

Md Rokonuzzaman, Muhammad Mollah and Ahasan Harun

This article delves into a theoretical framework evaluating the outcomes of justice perception (JP) on post-complaint behaviors. In addition, this article intends to facilitate…

Abstract

Purpose

This article delves into a theoretical framework evaluating the outcomes of justice perception (JP) on post-complaint behaviors. In addition, this article intends to facilitate service strategists to tailor service recovery efforts to attain a competitive gain.

Design/methodology/approach

We explored the complex relationships between JP and positive word-of-mouth (PWOM), evaluating the role of recovery disconfirmation (RD) as a mediator and also exploring factors that work as moderators. Data were collected in three different studies (Study 1: survey in banking service, Study 2a: experiment in hotel service and Study 2b: experiment in banking service) and were evaluated through the regression-based analysis.

Findings

Findings show that the link between JP and PWOM is mediated by RD. Moreover, the attitude toward complaining, failure severity and cognitive reappraisal function as moderators in affecting the behavioral consequences of JP.

Originality/value

In contrast to existing research discussing similar topics, in this article, exclusive focus is given on the moderation and mediation impacts for hypotheses evaluation. Thus, the outcomes from our studies provide a strategic outline for managing service failures by enhancing customer interactions, creating opportunities for competitive gain.

Details

Marketing Intelligence & Planning, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0263-4503

Keywords

Article
Publication date: 17 October 2024

Syed Waqar Akbar, Ajid Ur Rehman and Muhammad Shahzad Ijaz

This paper aims to examine the impact of corruption on bank stability and bank profitability separately for Islamic banks as well as conventional banks. Moreover, it also…

Abstract

Purpose

This paper aims to examine the impact of corruption on bank stability and bank profitability separately for Islamic banks as well as conventional banks. Moreover, it also investigates whether the existence of Islamicity and corruption in the environment can moderate the Islamic banks-stability and Islamic banks-profitability relationships.

Design/methodology/approach

Sample of the study consists 136 banks comprising 70 Islamic and 66 conventional banks over the period 2015–2021 from nine countries with dual banking systems. Panel data fixed effect estimator with year effects is used to estimate the results.

Findings

Results of the study show that Islamicity is positively and corruption is negatively related to bank stability as well as bank profitability. Further, it is found that the effect of corruption is significantly different between Islamic and conventional banks, wherein conventional banks are more adversely affected than Islamic banks. However, an insignificant difference between Islamic and conventional banks is observed in the case of Islamicity.

Practical implications

The study provides theoretical and practical implications. On theoretical side, the study presents Islamicity as more reliable measure of religiosity based on Islamic values that can help in control of corruption by moderating corruption-bank stability nexus especially in dual banking economies which have high share of Muslim population. On practical side, the study recommends policy and operational measures for mitigating corruption aiming bank stability.

Originality/value

The results of this study contribute to the corruption-finance, religion-finance and dual banking literature. This study suggests that regulators and bank management must consider corruption and Islamicity while formulating their policies for better bank performance/stability.

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: 4 December 2024

Muhammad Usman, Anwar Allah Pitchay, Zubir Azhar, Muhammad Shabir Shaharudin and Yuvaraj Ganesan

Islamic banking is a financial institution that is concerned with the regulation of the Shariah guidelines. Several full-fledged and Windows-based Islamic banks in Pakistan have…

Abstract

Purpose

Islamic banking is a financial institution that is concerned with the regulation of the Shariah guidelines. Several full-fledged and Windows-based Islamic banks in Pakistan have reported non-Shariah-compliant income (NSCI) due to various operational investment activities. Hence, this issue has attracted this study to examine the impact of NSCI, especially from the perspective of Islamic bank (IB) customers’ trust and commitment.

Design/methodology/approach

This study used trust-commitment theory as the underlying theory to examine customers’ trust and commitment. A total of 341 questionnaires have been distributed, and the data is analysed using the structural equation modelling (SEM) method.

Findings

The results show the commitment of IB customers has a significant relationship with the benevolence, trust and shared values of the top management of IBs. Meanwhile, the other two constructs, the ability and integrity of the top management, are found to be insignificant.

Research limitations/implications

The gender diversity among banks’ customers in Pakistan is the main limitation in this study. There were difficulties in selecting a more representative sample due to gender domination issues in the country. Thus the data revealed that 62.8% were male respondents, which confirms the prior research on the gender disparity.

Originality/value

This study provides interesting insights into the context of Pakistan’s Islamic banking sector as it examines top management’s ability, integrity, benevolence and shared values to affect trust and commitment, and the role of trust as a mediator.

Details

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

Keywords

Article
Publication date: 12 November 2024

Mohamed Ben Mimoun, Daghbagi Hamrouni and Asma Raies

This study aims to examine the role of Islamic Banking (IB) finance in promoting private sector investment within dual banking systems, with particular attention to the impact of…

Abstract

Purpose

This study aims to examine the role of Islamic Banking (IB) finance in promoting private sector investment within dual banking systems, with particular attention to the impact of institutional quality.

Design/methodology/approach

Using panel data from 26 countries with dual banking systems over the 2004–2022 period, this study uses the system-GMM estimator to analyze the interaction between private investment, IB finance and institutional quality, using both aggregated and disaggregated institutional quality indicators.

Findings

The results indicate that the direct effect of IB finance on private investment is generally limited across the sample. However, institutional quality, while showing a negative standalone effect, plays a pivotal role when considered interactively with IB finance. This study demonstrates that when both IB finance and institutional quality reach certain threshold levels, they exhibit a complementary relationship that significantly enhances private sector investment. The thresholds and key economic factors that influence private investment in the studied countries are estimated, providing valuable policy implications.

Originality/value

This research provides new insights into the interplay between IB finance and institutional quality, emphasizing that the effectiveness of IB finance is conditional upon strong institutional frameworks. Unlike previous studies, the work redefines the finance-growth nexus in dual banking systems, demonstrating that institutional improvements are essential to unlocking the full potential of IB finance.

Details

International Journal of Islamic and Middle Eastern Finance and Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1753-8394

Keywords

Article
Publication date: 12 July 2023

Hasri Mustafa

This paper aims to narrate the descriptions of accountability by which a pioneering Malaysian Islamic bank has come to be known and has become a specific model in many countries.

Abstract

Purpose

This paper aims to narrate the descriptions of accountability by which a pioneering Malaysian Islamic bank has come to be known and has become a specific model in many countries.

Design/methodology/approach

This study is based on a four-year ethnographic work from 2002 to 2006, as accessed and analysed by the researcher. The philosophy underpinning this ethnography is from Geertz’s “Common sense as a cultural system” (1975) and The Interpretation of Cultures (1973).

Findings

This study finds the religious metaphors of “Halal and Haram is not Only on Food” and “Bank for All” are the anticipated conception that envisages the institution of Bank Islam Malaysia Berhad (BIMB), especially the perspective of the Shariah Supervisory Council and the struggles of the assistant managers.

Research limitations/implications

The paper aligns with the concerns of McPhail et al. (2004) and calls for engagement in research projects on accounting and accountability related to theology but with an attempt to theorise the “engagement” within the components of human limitation and intelligence which require a narrative from the social and collective dimensions of the present and in the past.

Practical implications

By using various objects as symbol, metaphor and memory, such as “counter”, “branch”, “advertising” and “food”, the paper encourages readers to understand the objects as temporalities brought into being by a common sense consciousness and within a historical Malay context; one in which Malaysia is a Muslim society and a by-product of colonialism. This interpretation allows the issues raised by BIMB to represent an authentic Malaysian voice rather than to be read merely as an adjunct to western accounting history.

Originality/value

The paper explores the translations of concepts that the self probes and attempts to describe accountability, as well as how these translate into common sense.

Details

Journal of Islamic Accounting and Business Research, vol. 15 no. 8
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 26 September 2024

Umar Farooq Sahibzada, Nadia Aslam, Muhammad Muavia, Muhammad Shujahat and Piyya Muhammad Rafi-ul-Shan

The rapid evolution of digital innovation has significantly revolutionized the business landscape for entrepreneurs. Embracing digital innovation is crucial for all stakeholders…

Abstract

Purpose

The rapid evolution of digital innovation has significantly revolutionized the business landscape for entrepreneurs. Embracing digital innovation is crucial for all stakeholders to achieve sustainable development goals (SDGs) and promote sustainability. However, there is little understanding of how entrepreneurial leadership in developing nations has proactively responded to the challenge of digital innovation. Based on Drucker’s productivity theory, this study examines the relationship between entrepreneurial leadership (EL), digital orientation (DO) and digital capability (DC) as predictors of digital innovation (DI). The proposed model aims to establish the causal connections between variables and elucidate the complex interplay between digital innovation and the resulting outcome of sustainable performance (SP).

Design/methodology/approach

Two research studies were carried out in the Chinese IT industry to assess the efficacy of the theoretical framework among IT workers. Study 1 utilized a three-week, two-week time-lagged design (N = 299), while Study 2 used a two-week, four-week survey design (N = 341). The study used Smart-PLS 4.0 for data analysis.

Findings

The results showed that entrepreneurial leadership significantly impacts employee digital orientation and digital capabilities, fostering digital innovation. Moreover, digital innovation has a significant impact on sustainable performance.

Originality/value

The study’s findings allow authors to contribute to the existing scholarship on employee digital orientation, digital capabilities, digital innovation and sustainable performance in an emerging economy.

Details

Journal of Enterprise Information Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1741-0398

Keywords

Article
Publication date: 28 November 2024

Rafiullah Sheikh and Khalid Hussain

This paper aims to explore Islamic banking through the lens of Maqasid Shariah so that it can be reimagined to achieve societal well-being and greater confidence of Islamic…

Abstract

Purpose

This paper aims to explore Islamic banking through the lens of Maqasid Shariah so that it can be reimagined to achieve societal well-being and greater confidence of Islamic banking stakeholders in Islamic banking products and practices. Additionally, it aims to identify the gap between Islamic banking theory and its existing practices.

Design/methodology/approach

This paper uses the qualitative content analysis method based on the data gathered through semistructured interviews with Islamic banking stakeholders, including Shariah scholars, Islamic economics and finance researchers and Islamic bankers.

Findings

This study suggests that Maqasid Shariah represents Islam’s holistic view as a comprehensive code of life that considers individual and societal well-being. If an Islamic bank needs Shariah compliance, it is required to comply with Maqasid Shariah as well. For this purpose, this study proposes that Islamic banks should adopt value-based intermediation. Findings further suggest that the Islamic banks of Pakistan are realizing the Maqasid Aammah and many of the Maqasid Khassah relevant to Islamic banking and finance. It is revealed that Islamic banks are not merely working to maximize shareholders’ wealth but are conducting real economic activities, which bring employment, and distribute charity funds besides corporate social responsibility for the community’s welfare. This study proposes that Islamic banks, along with corporate financing and sovereign Sukuk, should also provide microfinancing to the underprivileged segments of society, which will empower and uplift their communities. This way, IBF practices can be harmonized with the idealized ones Islamic economists advocate. Ultimately, this study proposes specific reforms in Islamic banking in the light of Maqasid Shariah.

Originality/value

To the best of the authors’ knowledge, this is the first study that contributes to Islamic economics and finance knowledge by integrating different perspectives of Shariah scholars, bankers and economists on Islamic banking. It also offers context for policy implications, especially regarding financial engineering.

Details

Qualitative Research in Financial Markets, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1755-4179

Keywords

Article
Publication date: 16 September 2024

Jaizuluddin Mahmud, Pudji Hastuti, Muhammad Fauzan Rafif, Lambas Parlaungan Panggabean, Irawan Santoso, Sarjono, Manifas Zubair, Rizki Arizal Purnama, Andika Dwi Saputra, Yosa Permata Shafira and Angy Sonia

The purpose of this study is to determine research areas that are most favorable in supporting the development and manufacturing of electric vehicle (EV) components locally in…

Abstract

Purpose

The purpose of this study is to determine research areas that are most favorable in supporting the development and manufacturing of electric vehicle (EV) components locally in Indonesia for 2025–2035. Therefore, will provide direction for the formulation of the related government policies and programs. Consequently, an EV technology research priority must be identified.

Design/methodology/approach

A technology foresight (TF) procedure which consists of a STEEPV analysis, followed by scenarios development and expert elicitation techniques, was conducted to determine an EV technology research priority that may direct future specific local component innovations, and therefore businesses.

Findings

The results of this study indicate that research in a range of EV battery technologies, technologies relating to a variety of key components (to increase local content) and autonomous systems were important to support the local development and manufacturing of EV components in Indonesia.

Research limitations/implications

In this study, the scenarios development process was conducted based on selected available experts, mostly internally from BRIN. Some biased opinions may be present.

Originality/value

There have not been any TF studies regarding the development of EV technology research priority in Indonesia.

Details

foresight, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1463-6689

Keywords

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