Kholid Rosyidi Muhammad Nur, Tantut Susanto, Rismawan Adi Yunanto, Latifa Aini Susumaningrum and Hanny Rasni
This study examined the influence of traditional dance “Molong Kopi” for maintaining health status of older adult (OA) in long-term care of Indonesia.
Abstract
Purpose
This study examined the influence of traditional dance “Molong Kopi” for maintaining health status of older adult (OA) in long-term care of Indonesia.
Design/methodology/approach
A randomized control trial study conducted 21 of OA intervention group and 20 of OA control group. Molong Kopi dance intervention was carried out for eight weeks. Health status was measured on blood pressure, risk for fall, balance and quality of sleep of OA.
Findings
There was a significant differences between the intervention group and the control group on systole blood pressure, fall risk and sleep quality (p < 0.05). The number of OA who were not at risk for fall after the intervention were increased from 14 to 38%. The quality of sleep of OA was also changed to good sleep quality from 43 to 90%.
Originality/value
Molong Kopi dance in OA can reduce systolic blood pressure, reduce the risk of falls and improve sleep quality better.
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Raditya Sukmana and Muhammad Kholid
This paper aims to describe, compare and analyze liquidity policies from the central bank of Indonesia, particularly reserve requirements, with respect to Islamic as well as…
Abstract
Purpose
This paper aims to describe, compare and analyze liquidity policies from the central bank of Indonesia, particularly reserve requirements, with respect to Islamic as well as conventional banks.
Design/methodology/approach
This paper provides some critical assessments on the policy applied by the central bank of Indonesia to both Islamic and conventional banks with regards to the reserve requirements applied in the Indonesian banking system. The analysis is based on whether both policies (Islamic and conventional) provide fairness to the banks as well as whether those policies support the real sector. In addition, the current global practice is also briefly described as a justification of the important and relevance of the current study.
Findings
The authors find that the policy imposed on the Islamic banks is designed to boost the real sector, compared to that of conventional banks. For the policy with respect to Islamic banks, it recognizes the banks which have been doing well in their main role as financial intermediaries and “punishes” them when they fail to do so. This policy could not be found in the context of conventional banks.
Practical implications
The authors argue that the current approach used for Islamic banks can also be adopted and imposed on conventional banks. This leads to a more stable financial system, since it supports the real sector.
Originality/value
This paper is the first to analyze central bank policies with respect to banks (Islamic as well as conventional banks) in relation to their role as financial intermediaries.
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Imran Khan, Mehreen Khan and Muhammad Tahir
This study aims to investigate the performance differences of Islamic and conventional banks in Pakistan by using financial ratios.
Abstract
Purpose
This study aims to investigate the performance differences of Islamic and conventional banks in Pakistan by using financial ratios.
Design/methodology/approach
This study analyzed 5 Islamic and 19 conventional banks for the periods of 2007-2014. Two types of analyses were performed – sample t-test and logistic regression. Analysis was also performed on sub-sample considering crisis effects.
Findings
It was found that Islamic banks are relatively better in profitability, efficiency, risk and liquidity management, while conventional banks are superior in asset quality. Higher efficiency of Islamic banks contradicts with previous studies conducted in Pakistan. Probable reasons for this include phenomenal expansion of Islamic banking industry and its broad appeal to customers in Pakistan. Risk management practices of Islamic banks are superior to conventional banks, as Shariah rules restrict pure speculation in monetary terms. Better asset quality of conventional banks is attributed to their recognition and product diversity. During the crisis, Islamic banks were found less profitable than their counterparts.
Research limitations/implications
This study suggests that high operational efficiency of Islamic banks should be converted into technical efficiency by improving human resource, introducing innovative market-oriented products and prudent resource allocations. As operational efficiency does not promise returns in long term, to sustain ongoing phenomenal growth of Islamic banking, management needs to gain customer trust.
Originality/value
This is an original research that compares performance differences across Islamic and conventional banks by using financial ratios.
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Shofiya Yusri Salma and Hendy Mustiko Aji
This study aims to investigate some factors that might drive Muslims in Indonesia to get involved in a French brands boycott movement by examining the moderating role of brand…
Abstract
Purpose
This study aims to investigate some factors that might drive Muslims in Indonesia to get involved in a French brands boycott movement by examining the moderating role of brand judgment and counterargument.
Design/methodology/approach
An online survey has been conducted to 1,063 respondents from all over Indonesia. The respondents are selected using the purposive sampling technique. The model is assessed using covariance-based structural equation modeling, which includes the assessment of measurement and structural model. An interaction moderation technique is applied to examine the effect of moderators on the structural model.
Findings
This study shows that the French brand boycott is strongly affected by consumer animosity, perceived efficacy and subjective norms. Moreover, this study also found that the effect of animosity on boycott intention is dampened by brand judgment and counterargument.
Practical implications
First, multinational companies are advised to be careful in creating a campaign. They should avoid sensitive words or the use of specific figures or places highly respected by Muslims. A sensitive campaign might spread hatred, and it is directly connected with the boycott movement based on history. Second, it is pivotal for multinational companies to focus more on product or brand values instead of controversial issues. Finally, multinational companies are also advised to strengthen brand love. When brand love is strong, it is difficult for them to stop patronizing the brand or even switch to other brands.
Originality/value
Prior studies’ findings are still inconclusive in explaining some factors that lead to the success of a boycott call-to-action. Therefore, this study contributes to boycott literature by revealing the importance of brand judgment and counterargument to moderate consumer animosity and boycott intention link.
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Elhassan Kotb Abdelrahman Radwan, Zsuzsanna Győri and Antonella Russo
The study aims to evaluate and compare the quantity and quality levels of corporate social responsibility disclosure (CSRD) practices on the websites of the largest Islamic and…
Abstract
Purpose
The study aims to evaluate and compare the quantity and quality levels of corporate social responsibility disclosure (CSRD) practices on the websites of the largest Islamic and conventional banks worldwide.
Design/methodology/approach
Two indices were developed: the quantity index, consisting of seven categories, and the quality index, which includes eight characteristics, to adopt the quantitative content analysis of the global leading 94 Islamic and 100 conventional banks’ websites.
Findings
The results show that conventional banks have higher levels of CSRD quantity and quality on their websites than those of Islamic banks. The study found that the products and services category is the most disclosed by largest Islamic and conventional banks worldwide, while environment and energy information is the lowest for Islamic banks and employee and human resource information is less common for conventional ones. The analysis reveals low levels of CSRD quantity and quality on Islamic banks’ websites (43.69% and 54.56%) and high levels on conventional banks’ websites (70.84% and 73.26%).
Research limitations/implications
The study focuses on analyzing the quantity and quality of CSRD on English-accessible websites of the largest Islamic and conventional banks in 2022, focusing on English as a uniform language for data collection because it analyzed 194 websites from 48 countries with over 20 languages.
Practical implications
The results of this study are likely to be valuable to many interested parties because they inform investors about the status of CSRD practices on the largest Islamic and conventional banks’ websites worldwide and how they disclose such information. To ensure investor satisfaction and accurate investment decisions, these global banks should provide comprehensive and high-quality CSR information on their websites to show how they contribute to CSR activities. For scholars, its limitations may be helpful in their future research.
Originality/value
The originality of this paper derives from its focus on largest-world Islamic and non-Islamic banks, collecting primary data directly from their websites, and offering valuable theoretical, methodological and practical insights.
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Tika Widiastuti, Eko Fajar Cahyono, Siti Zulaikha, Imron Mawardi and Muhammad Ubaidillah Al Mustofa
This study aims to formulate a strategy for optimizing zakat governance in zakat institutions in East Java Province by identifying priority problems, creating solutions and…
Abstract
Purpose
This study aims to formulate a strategy for optimizing zakat governance in zakat institutions in East Java Province by identifying priority problems, creating solutions and developing strategies.
Design/methodology/approach
This qualitative research uses the analytical network process method. Ten respondents representing practitioners, academics, associations and regulators were selected for their expertise in zakat governance. The data were processed using Super Decision software program and Excel.
Findings
Priority issues in optimizing zakat governance found in this study are lack of information on Mustahik’s needs and development to Muzakki and the low motivation and ability of Mustahik to develop. Improving the quality and capacity of Amil’s, especially in the technological aspect, is a priority solution. The priority strategy considers intensification (by developing Amil’s ability to use technology) and extensification (by increasing Amil’s numbers who master technology).
Practical implications
The results highlight the urgency of increasing Amil’s capacity and capability in technology-based zakat management. Zakat institutions need to prepare for management’s transformation toward zakat technology as one of the priorities in optimizing zakat governance.
Originality/value
Problems, solutions and strategies for optimizing zakat governance are collected by connecting it to the Zakat Core Principles, namely, the ninth principle of collection management and the tenth principle of distribution management. Further, for identifying problems, solutions and strategies, four aspects must be considered of Amil, Muzakki, Mustahiq and other supporting elements to present better policies to optimize zakat governance.
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Husam-Aldin Nizar Al-Malkawi, Shahid Rizwan and Adel Sarea
The purpose of this study is to examine the impact of the marketing mix, customer perceptions, and religion on the buying decision of Islamic banking products in an emerging…
Abstract
Purpose
The purpose of this study is to examine the impact of the marketing mix, customer perceptions, and religion on the buying decision of Islamic banking products in an emerging market namely the United Arab Emirates (UAE).
Design/methodology/approach
This study adopts a quantitative approach to analyze the data of 435 respondents collected through an online survey during January–February 2022. Data analysis of direct and moderating relationships are done through Smart PLS (partial least squares) using structural equation modelling (SEM) technique.
Findings
The results indicate that marketing mix (product, price, place and promotion) and customer perceptions have a positive direct relation with the buying decision of Islamic banking products in the UAE. However, moderation analysis shows that religion is a non-significant moderator for the above relationships.
Originality/value
This study combines potential variables from the perspectives of marketing, human mindset, and individual beliefs. The findings of this study provide a wider understanding of consumer behavior toward Islamic banking products. Marketers of the Islamic banking industry can utilize these findings for effective market segmentation and well-crafted marketing strategies. This will ultimately contribute to the sustainable growth and development of the Islamic banking industry in the UAE and other regions.
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Hanudin Amin and Faizah Panggi
This study investigated drivers that explain qardhul hassan financing acceptance in Malaysia involving staff of two universities namely A in East Malaysia and B in West Malaysia.
Abstract
Purpose
This study investigated drivers that explain qardhul hassan financing acceptance in Malaysia involving staff of two universities namely A in East Malaysia and B in West Malaysia.
Design/methodology/approach
The attitude-social influence-self-efficacy (ASE) model was tested to examine 422 respondents’ acceptance using SPSS 27.
Findings
The study confirmed the significance of all tested hypotheses, with attitude playing a key mediating role. Further, this study uncovered significant results of relative advantage and Islamic debt collection policy, offering novel contributions to this discipline.
Research limitations/implications
The generalisation of the findings generated was limited to the context concerned and the limited variables tested.
Practical implications
The results offer a directive for universities to offer qardhul hassan in the future to attract demand and acceptance.
Originality/value
This study introduced a modified ASE called the QH-ASE framework to analyse its adoption, adaptability and impact on qardhul hassan financing usefulness.
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Qaisar Ali, Shazia Parveen, Tasya Aspiranti, Nunung Nurhayati and Sulistya Rusgianto
The adoption of Islamic banking (AIB) among customers has remained in the limelight due to its significance in the strategic marketing of Islamic banking (IB) services. Although…
Abstract
Purpose
The adoption of Islamic banking (AIB) among customers has remained in the limelight due to its significance in the strategic marketing of Islamic banking (IB) services. Although researchers have devoted a significant effort to investigating the drivers of AIB, little is known about the exclusive barriers hampering AIB. Accordingly, this paper aims to examine the underlying barriers to the adoption of Islamic banking (BAIB) and categorize them into different research clusters using bibliometric analysis.
Design/methodology/approach
The data was collected from 132 articles published in Scopus database between 2007 and 2022 and analyzed using VOSviewer to explore BAIB.
Findings
The findings clustered the barriers to AIB into three groups, namely, efficiency of IB products and services (service quality, Shariah compliance level, availability of services), behavioral (knowledge and awareness, religiosity, trust and intention) and personal attributes (innovativeness, understanding of mobile/internet banking and technology acceptance) factors of Islamic bank customers.
Research limitations/implications
The sample size of this study is relatively small, as the data was imported from Scopus database only to perform Bibliometric analysis. Future studies may use larger sample size by retrieving data from other databases such as Web of Science and PubMed to develop better research clusters of BAIB.
Practical implications
The dynamic business environment and unprecedented changes in consumer behavior require managers creating suitable conditions to foster adoption of their services and capture a better market share.
Originality/value
Following the findings of this research, future research avenues are identified for strategic embeddedness and global development of IB by overcoming BAIB.
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This study aims to examine the impact of agency cost, Islamic board characteristics and corporate governance on the performance of Islamic institutions.
Abstract
Purpose
This study aims to examine the impact of agency cost, Islamic board characteristics and corporate governance on the performance of Islamic institutions.
Design/methodology/approach
Based on the selected criteria, 92 Islamic banks (IBs) from 20 countries were selected for further research. The authors used generalized method moments (GMM) estimation method. The agency cost and Shariah board characteristics are the explanatory variables. The author uses the age of the bank and the size of the bank for variable control.
Findings
Empirical results indicate that first, agency costs represented by cast/total assets negatively affect IBs’ return on equity and net income. As agency costs rise, IBs’ financial performance declines. Second, Shariah supervisory board (SSB) size and board independence affect IB performance. The study found that SSB size positively affects IB performance.
Research limitations/implications
This research contributes to the literature on IBs in different countries, which policymakers and practitioners can use to improve agency cost functions and Shariah board characteristics. Second, this analysis shows that IBs require specific attention for agency charges, given their operations and business structures. This study contributes to agency theory, which requires Islamic banking information and practices. Finally, the author has aided regulators and IBs by identifying the sources of agency cost practices that can be resolved. The other bank governance contribution is twofold. First, the author studied dual board governance in IBs (SSB and ordinary boards of directors). Second, the author examines how SSB and traditional board governance affect IB performance. This research focuses on banks listed on stock exchanges in the 20 countries analysed.
Practical implications
The research has policy and practical implications for central banks and IBs. By outlining appropriate regulatory guidelines and reporting systems, regulatory authorities can ensure Sharia compliance and protect the independence of IB Shariah department officers. Regulators and relevant stakeholders must ensure Sharia compliance, audits, inspections, reporting and accurate disclosure for IBs.
Originality/value
This paper offers original contributions to professionals in the field of IBs and stakeholders investigating the relationship between agency costs, governance of IBs, characteristics of Islamic supervisory boards and the performance of IBs.