Wan Rusni Wan Ismail, Mohhidin Othman, Russly Abdul Rahman, Nitty Hirawaty Kamarulzaman and Suhaimi Bin Ab Rahman
The purpose of this paper is to investigate the extent and the impact of negative electronic word of mouth (eWoM) on Muslim consumers’ tolerance and to look for evidence on…
Abstract
Purpose
The purpose of this paper is to investigate the extent and the impact of negative electronic word of mouth (eWoM) on Muslim consumers’ tolerance and to look for evidence on whether it can pose threat to high-tolerance products and cause spillover effect on products in similar category.
Design/methodology/approach
This study used a qualitative method with purposive sampling, and data were collected from 23 Malay Muslim consumers using in-depth interviews.
Findings
Findings from this study clearly showed that consumers’ perception toward effected products can easily be distorted with negative claim which indicates that halal issues are very sensitive to Muslim consumers. The negative eWoM distorts consumers’ perception toward effected product and the effect was also found to escalate into other brands that share similar category as the effected products.
Practical implications
By examining the negative impact of eWoM, it validates the severe impact it has on Muslim consumers, and it is quite obvious that no products are really safe from it, including high-tolerance products. Evidence from this study revealed the importance and the urgency for organizations to handle any rumors immediately because further delay can result from significant loses in sales and can tarnish the brand image.
Originality/value
Negative claims related to the halal product status often sparks negative reactions, especially among Muslim consumers, and despite frequent occurrence of such event, very little information is available on its impact on consumers’ tolerance. Certain products fall under safe product category, or high-tolerance products are also found to be vulnerable to negative impact of eWoM because once the consumers’ trust is shaken, confidence will be replaced by doubt, which often leads to loss of sales and loyalty. It is commonly known that effected products and brand will suffer from this event; however, spillover effect is another side effect of negative eWoM that is not yet highlighted in previous studies.
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Keywords
Mohammad Mominul Islam, Mohamed Syazwan Ab Talib and Nazlida Muhamad
This study aims to underline Islamic principles to the business theories for producers and policymakers and to explain halal marketing by value creation approach for halal…
Abstract
Purpose
This study aims to underline Islamic principles to the business theories for producers and policymakers and to explain halal marketing by value creation approach for halal stakeholders concerned with halal certification and its implementation.
Design/methodology/approach
This study applied inductive reasoning with the systematic literature review (SLR) of peer-reviewed published research papers, followed by the preferred reporting items for systematic reviews and meta-analyses framework. Furthermore, the content analysis with ATLAS.ti 2022 helped to undergo concept and thematic analysis that show the theoretical lenses for the upstream halal businesses.
Findings
Among 360 papers, the SLR from 2012 to 2022 found 32 papers dealing with the halal theory–based studies on certification, standards, producers and policymakers and halal supply chains. Only seven studies consulted the resource-based view (RBV), a strategy theory and the institutional theory (IT) connected to halal. This study further underpinned qualitative Quranic verses to add to the current body of RBV and IT, resulting in halal sustainable competitive advantage and halal certification institutionalization.
Practical implications
Islamic principles can guide halal stakeholders to create and manage valuable resources through halal certification. Also, academics can synthesize conventional theories as value-creation mechanisms compliant with Islamic codes.
Originality/value
To the best of the authors’ knowledge, this novel study was the first to contribute to the current body of RBV and IT with Islamic principles. It has primarily concentrated on the upstream halal businesses to create and manage halal value, certification and competitive advantages for halal marketing.