Asian Journal of Islamic Management (AJIM)

Exploring online infaq intentions of young Muslim

Retty Ikawati — 2024-06-24

Purpose – This study aims to analyze the intention of the young Muslim generation in paying infaq using online platforms.
Methodology – The respondents in this study were 320 young Muslims who had previously made infaq payments through online platforms. The research framework applied was an extended unified theory of acceptance and use of technology (UTAUT) model to predict the intention to use new technology. Structural equation modeling (SEM) techniques to assess the validity, reliability, and relationships between various latent variables.
Findings – The results of the data analysis show that performance expectations, social influence, infaq literacy, and habits have a significant influence on the intention to pay infaq through online platforms. In addition, habits and intention to pay donations online also influence usage behavior in paying donations via online platforms.
Implications – Based on these findings, it is recommended that the Amil Zakat Infaq and Sedekah Agency (BAZNAS) collaborate with profit-oriented and non-profit social organizations in Indonesia. This collaboration is expected to improve online infaq services and expand the reach of community participation, in line with the increasing intention in and habit of using online platforms to pay infaq.
Originality – This study uniquely focuses on the young Muslim generation's behavior in using online platforms for infaq, an area not extensively explored in previous research. By employing Structural Equation Modeling (SEM), it offers a comprehensive analysis of both direct and indirect effects, providing actionable insights for enhancing online donation platforms.

Student compliance in paying zakat: Do zakat literacy and awareness matter?

Abdul Malik — 2024-06-24

Purpose – This study analyzes how zakat literacy and awareness affect compliance with zakat payments among Islamic students. Zakat literacy involves understanding zakat’s concept, types, calculation, and distribution, while awareness includes recognizing zakat’s importance as a religious and socioeconomic duty.
Methodology – This study employed a quantitative approach using primary data collected from second- and fourth-semester students at Muhammadiyah University of Makassar through purposive sampling and questionnaires distributed to 116 individuals via WhatsApp groups. Data analysis was conducted using multiple linear regression with SPSS Version 26, chosen for its comprehensive statistical tools and user-friendly interface.
Findings – Data analysis revealed that both zakat literacy and awareness had a positive and significant effect on compliance with paying zakat. Students with higher levels of zakat literacy and deeper awareness of the benefits of zakat are more motivated and consistent in paying zakat, according to Sharia provisions.
Implications – This study highlights the importance of zakat education and counseling in universities to enhance literacy and awareness, which can ultimately increase compliance with paying zakat. This increase in compliance supports the achievement of Zakat’s social and economic goals in reducing poverty and social inequality.
Originality – This study makes a unique contribution by focusing on the role of zakat literacy and awareness among students, a topic that has been underexplored. These findings can inform the development of more effective zakat education programs at the university level.

Exploring Muslim students' adoption of mobile banking in conventional banks

Heri Sudarsono — 2024-06-24

Purpose – This study aims to analyze the factors that influence Muslim students' intention to adopt mobile banking in conventional banks.
Methodology – The research sample consisted of 170 Muslim students who used mobile banking in conventional banks. The partial least squares (PLS) method was used to evaluate the unified theory of acceptance and use of technology (UTAUT) on Muslim students' intentions to use m-banking in conventional banks.
Findings – This research shows that performance expectancy, facilitating conditions, and social influence the behavioral intention of Muslim students, while effort expectancy does not influence the behavioral intention of Muslim students to adopt mobile banking at conventional banks. On the other hand, behavioral intention influences Muslim students’ behavior towards mobile banking in conventional banks.
Implications – Banks should focus on highlighting user-friendly designs and providing clear, accessible information and support to overcome perceived difficulties. Emphasizing the practical benefits and efficiency of mobile banking can play a significant role in encouraging its use. Additionally, creating a supportive environment with adequate resources and leveraging positive social influences can further increase students' intentions and actual usage of mobile banking services.
Originality – Research on the intention of Muslim students to adopt mobile banking at Islamic banks has been conducted by many previous researchers. Therefore, this study examines the influence of Muslim students' intention to adopt mobile banking in conventional banks, which has rarely been studied by previous researchers.

The moderating effect of religiosity on intention to use product financing

Mochamad Wildan Faiz — 2024-06-24

Purpose – This study aimed to determine the effect of financial literacy and word of mouth on the intention to use financing with religiosity as a moderating variable in the BMT UGT Nusantara Capem Pujon.
Methodology – This study employs a quantitative approach using primary data collected through accidental sampling. A total of 104 respondents, members of BMT UGT Nusantara Capem Pujon, who use financing products, participated by completing a Likert-scale questionnaire. Data were analyzed using Partial Least Squares (PLS) with SmartPLS version 3.2.9.
Findings – The research findings indicate that financial literacy positively influences the intention to use BMT financing products. By contrast, word-of-mouth did not significantly affect this intention. Religiosity moderates the relationship between financial literacy and intention as well as between word-of-mouth and intention.
Implications – These findings have several implications for BMT. First, enhancing financial literacy among members can significantly increase their intentions to use financial products. Second, given that word-of-mouth is not a significant factor, BMT should focus more on educational programs rather than relying solely on customer referrals. Finally, integrating religiosity into financial literacy initiatives could further strengthen members' intention to use the BMT's financial products, aligning with their values and beliefs.
Originality – The novelty of this study lies in exploring how financial literacy, word of mouth, and religiosity collectively shape the intention to use financing products at BMT UGT Nusantara Capem Pujon, emphasizing the moderating role of religiosity in customized educational strategies to improve financial decisions within Islamic financial institutions.

Influence of student factors on entrepreneurial intentions: Evidence from Nigeria

Olumuyiwa Oluseun Adeoye — 2024-06-24

Purpose – This study aims to identify the factors influencing entrepreneurial intentions among private university students in South-West Nigeria, and to determine their significance.
Methodology – The study population consisted of final-year students from the Faculty/College of Business and Social Sciences across 11 selected private universities in South-West, Nigeria, offering entrepreneurship courses. This study used a sample of 623 students. Data were collected using a self-developed instrument with a reliability coefficient of 0.847 for student-related factors and 0.80 a entrepreneurial intentions. The Relative Significance Index (RSI) and multiple regression analyses were used.
Findings – The results revealed that most students perceived several factors as influential on entrepreneurial intention. The key factors were students’ personal factors, family history, technical abilities, and parental attitude. Despite recognizing these influences, many students lacked the skills to solve challenges and effectively utilized technical literature and other information sources. Multiple regression analysis indicated that student parental attitude, student personal factors, and technical abilities significantly influenced entrepreneurial intentions.
Implications – This study highlights the importance of enhancing students' personal factors, technical abilities, and parental attitudes to foster entrepreneurial intention. Educational institutions and policymakers should focus on these areas to cultivate an entrepreneurial mindset among students.
Originality – This study provides empirical evidence on the determinants of entrepreneurial intentions among private university students in Nigeria, contributing to a broader understanding of how personal, familial, and technical factors shape entrepreneurial aspirations.

SME support for halal industry and sharia economy in Indonesia: SWOT analysis

Azwar Azwar — 2024-06-24

Purpose – This study aims to identify and analyze the strengths, weaknesses, opportunities, and threats as well as strategies related to micro, small, and medium enterprises (SME) support in the development of the halal industry and the Sharia economy in Indonesia.
Methodology – This study used a mixed-method approach in the form of a sequential exploratory design with strengths, weaknesses, opportunities, and threats (SWOT) analysis.
Findings – This study highlights the vast number of SMEs and their workforce as significant strengths. However, the lack of digital technology integration among SMEs is a weakness. Opportunities include a large Muslim population and availability of institutions willing to provide loans. However, threats emerge from low awareness among Indonesian Muslims regarding halal products. The proposed strategies include enhancing financing facilities, government subsidy programs, awareness campaigns, ecosystem strengthening, and socialization efforts.
Implications – The findings offer practical insights for supporting SMEs, including improving access to financing and increasing awareness among Indonesian Muslims. Socially, the study suggests potential benefits such as fostering economic growth, creating employment opportunities, and promoting the production and consumption of halal products. Overall, this study provides valuable guidance for policymakers and stakeholders interested in enhancing SME support in Indonesia's halal industry and Islamic economy, with implications for economic and social development.
Originality – The study's original contribution lies in its comprehensive analysis of SMEs in Indonesia within the context of the halal industry and Islamic economy.