An analysis of the religious, social factors and income’s influence on the decision making in Islamic microfinance schemes

2020 ◽  
Vol 11 (2) ◽  
pp. 361-376
Author(s):  
Shaheen Mansori ◽  
Meysam Safari ◽  
Zarina Mizam Mohd Ismail
Keyword(s):  
Decision Making ◽  
Social Influence ◽  
Structural Equation ◽  
Islamic Law ◽  
Peer Pressure ◽  
Primary Data ◽  
Decision Making Process ◽  
Data Set ◽  
Content Type ◽  
Islamic Microfinance

Purpose Islamic microfinance schemes are designed and developed with the primary intention of poverty alleviation and fulfillment of the Islamic law requirements. The purpose of this study is to investigate the effects of religiosity, religious leader’s endorsement, social influence and income on the intention to apply for Islamic microfinance among Muslims in Malaysia. Design/methodology/approach This study is based on a public survey to collect primary data from various states in Malaysia. Then, structural equation modelling (SEM) was used to analyse the data set. Findings The results of SEM indicate significant roles for religiosity and religious leader’s endorsement as religion-based factors on intention to apply for microfinance products. Moreover, social influence (peer-pressure) is influential on the financial decision-making process. The authors also examined the moderation effect of gender on these relations and found that females, in comparison to males, tend to be more influenced by religious leader’s endorsement and social influence. On the other hand, male with higher religiosity tend to favour Islamic microfinance products more than females. Originality/value Findings of this study are new in many aspects, most importantly as it sheds light into the role of religiosity and religious leader’s endorsement on the decision-making process in microfinancing services.

Impact of geomarketing and location determinants on business development and decision making

2018 ◽  
Vol 28 (1) ◽  
pp. 98-120 ◽  
Author(s):  
Veland Ramadani ◽  
Donika Zendeli ◽  
Shqipe Gerguri-Rashiti ◽  
Leo-Paul Dana
Keyword(s):  
Decision Making ◽  
Structural Equation ◽  
Secondary Data ◽  
Business Development ◽  
Primary Data ◽  
Equation Modeling ◽  
Decision Making Process ◽  
Content Type ◽  
Location Determinants

Purpose This paper aims to study and compare variables such as location, industry, socio-demographics and business factors of several companies located in Western Macedonia. Design/methodology/approach Research method is based on primary data the authors collected through questionnaires and secondary data obtained from State Statistical Office. Besides, the research sums up data classification of companies in the aspect of geomarketing and how location determinants and geo-information of certain cities can influence their business development and decision-making. Lastly, the results of data and Structural Equation Modeling integration are presented. Findings Since Republic of Macedonia is more than 25 years in transition, experts have often foreseen that companies in their country most of the time make intuitive decisions and do not take into account many elements during decision-making process in the business aspect. But on the other hand, results reveal interesting facts about companies involved in their research. For a majority of companies, the influence of geomarketing on business development is positive as long as during decision-making process its determinants have been taken into consideration and reviewed. Practical implications The paper helps the entrepreneurs to develop their businesses and decision-making process based on geomarketing determinants. Originality/value This is the first paper that investigates and compares variables such as location, industry, socio-demographics and business factors of companies located in Macedonia.

Webrooming and showrooming: a multi-stage consumer decision process

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Srabanti Mukherjee ◽  
Swagato Chatterjee
Keyword(s):  
Decision Making ◽  
Information Search ◽  
Structural Equation ◽  
Product Type ◽  
Equation Modeling ◽  
Purchase Decision ◽  
Decision Making Process ◽  
Content Type ◽  
Channel Choice ◽  
Multi Stage

PurposeThe purpose of this research is to propose and validate a theoretical framework explaining web-rooming and showrooming as a multi-stage decision-making process. The authors have used consumer purchase decision-making theories to propose a model that identifies showrooming and webrooming as a combination of two decisions, channel choice during information search and channel choice during actual purchase. Further, the authors explored how various antecedents of showrooming and webrooming have differential effects on various stages of a purchase decision-making process and how product type moderates the relationships.Design/methodology/approachThe authors have conducted empirical research, whereby 243 responses were obtained from a cross-sectional survey. The authors have used structural equation modeling and multiple regression analysis to validate our theoretical model.FindingsWebrooming or showrooming is a multi-stage decision-making process for the consumers. First, consumers decide whether to search online or offline and then whether to buy online and offline. Different individual, purchase context-related and channel related factors impact these decisions. Product type governs which variables will be more important than others.Originality/valueThe research looks to enhance the understanding of the consumer's decision-making process during showrooming and webrooming while also helping retailers design and implement appropriate strategies that could affect consumers during information search and actual purchase.

Constrained purchase decision-making process at the base of the pyramid

2019 ◽  
Vol 36 (1) ◽  
pp. 178-188 ◽  
Author(s):  
Nanda Choudhury ◽  
Srabanti Mukherjee ◽  
Biplab Datta
Keyword(s):  
Decision Making ◽  
Transaction Cost ◽  
Primary Data ◽  
Decision Making Process ◽  
Consumer Decision Making ◽  
Base Of The Pyramid ◽  
Structured Interviews ◽  
Consumer Decision ◽  
Content Type ◽  
Consumer Vulnerability

Purpose The purpose of this paper is to examine the factors affecting decision-making at the BoP and propose a framework of the consumer decision-making process at the base of the pyramid (BoP). Design/methodology/approach The qualitative research design was adopted to collect primary data. Data collected through the in-depth semi-structured interviews of the 48 BoP consumers in Kolkata and Kharagpur (India) were subjected to grounded theory analysis for theory development. Findings This study reveals that consumer vulnerability affects the decision-making process and the transaction cost at BoP level. It was observed that the consumers at the BoP make constrained choices due to their vulnerability and try to minimise transaction cost while selecting the retails. The constrained retail choice leads to a limited selection of products and brands. Originality/value This study, for the first time, has investigated the decision-making process for BoP consumers in detail. As a pioneering attempt, it sheds light on some new factors including consumer vulnerability and transaction cost that have an impact on the consumer decision-making process.

scholarly journals Would credit scoring work for Islamic finance? A neural network approach

2014 ◽  
Vol 7 (1) ◽  
pp. 112-125 ◽  
Author(s):  
Hussein A. Abdou ◽  
Shaair T. Alam ◽  
James Mulkeen
Keyword(s):  
Neural Network ◽  
Decision Making ◽  
Credit Scoring ◽  
Islamic Finance ◽  
Decision Making Process ◽  
Data Set ◽  
Content Type ◽  
Modeling Techniques ◽  
The Uk ◽  
Training Subset

Purpose – This paper aims to distinguish whether the decision-making process of the Islamic financial houses in the UK can be improved through the use of credit scoring modeling techniques as opposed to the currently used judgmental approaches. Subsidiary aims are to identify how scoring models can reclassify accepted applicants who later are considered as having bad credit and how many of the rejected applicants are later considered as having good credit, and highlight significant variables that are crucial in terms of accepting and rejecting applicants, which can further aid the decision-making process. Design/methodology/approach – A real data set of 487 applicants is used consisting of 336 accepted credit applications and 151 rejected credit applications made to an Islamic finance house in the UK. To build the proposed scoring models, the data set is divided into training and hold-out subsets. The training subset is used to build the scoring models, and the hold-out subset is used to test the predictive capabilities of the scoring models. Seventy per cent of the overall applicants will be used for the training subset, and 30 per cent will be used for the testing subset. Three statistical modeling techniques, namely, discriminant analysis, logistic regression (LR) and multilayer perceptron (MP) neural network, are used to build the proposed scoring models. Findings – The findings reveal that the LR model has the highest correct classification (CC) rate in the training subset, whereas MP outperforms other techniques and has the highest CC rate in the hold-out subset. MP also outperforms other techniques in terms of predicting the rejected credit applications and has the lowest misclassification cost above other techniques. In addition, results from MP models show that monthly expenses, age and marital status are identified as the key factors affecting the decision-making process. Originality/value – This contribution is the first to apply credit scoring modeling techniques in Islamic finance. Also in building a scoring model, the authors' application applies a different approach by using accepted and rejected credit applications instead of good and bad credit histories. This identifies opportunity costs of misclassifying credit applications as rejected.

Rooting a new event in its place: the case of Festa Templária, Tomar, Portugal

2017 ◽  
Vol 8 (3) ◽  
pp. 324-345 ◽  
Author(s):  
Hermínia Sol ◽  
Marisa P. de Brito ◽  
João Pinto Coelho ◽  
Luís Mota Figueira ◽  
Christopher Pratt ◽  
...  
Keyword(s):  
Decision Making ◽  
Single Case ◽  
Primary Data ◽  
Decision Making Process ◽  
Longitudinal Case Study ◽  
Content Type ◽  
The Creation ◽  
The City ◽  
Practical Implications

Purpose With fierce competition in capturing tourists, it is crucial that destinations be prepared to adapt and to refresh their event portfolio. The purpose of this paper is to look into the decision-making process that led to the development of a new festival in a middle-sized city, Tomar, in Portugal. Design/methodology/approach This study analyses the creation process of the Knights Templar Festival, in Tomar, a new event focusing on the Templar history of the city. A retrospective outlook on the evolution of the event is given. Primary data were collected via quantitative survey analysis and semi-structured interviews. The theoretical scope is events and placemaking. Findings The strengths and weaknesses of the region influenced the conception and setting up of this particular event. This awareness is important for cities in meeting the challenges and opportunities that event portfolio diversification calls for. Research limitations/implications This paper helps us to understand the motives and challenges in establishing a new event in the city, through the analysis of a single case study of a European middle-sized city. Simultaneously, it is a longitudinal in-depth case of the first editions of a new historically focused event. Practical implications Several practical implications can be derived to the case of Tomar. Overall, it is key that cities align the focus of new events with the city’s identity (as Tomar did). Originality/value This paper presents an in-depth and longitudinal case study, from the moment of the creation of a new event to its fourth edition, mapping the decision-making process, highlighting the learning curve of the decision makers.

A study on the factors affecting household solar adoption in Kerala, India

2020 ◽  
Vol 69 (8) ◽  
pp. 1695-1720
Author(s):  
Chandan Parsad ◽  
Shashank Mittal ◽  
Raveesh Krishnankutty
Keyword(s):  
Structural Equation ◽  
Low Cost ◽  
Investment Decision ◽  
Energy System ◽  
Primary Data ◽  
Maintenance Cost ◽  
Ann Model ◽  
Data Set ◽  
Content Type ◽  
Study Results

PurposeRecent research on the energy system highlights the need for understanding the bandwidth of drivers and inhibitors of household investor's behaviour in rooftop PV (or photovoltaic power system) and to fit the broader socio-economic context in which they are deployed. However, apart from few exceptions, these newer perspectives have not been duly applied in the research on rooftop PV. This paper aims to fill this gap and to shed new light on rooftop PV investment decisions.Design/methodology/approachThis study has been conducted with the primary data collected using two data sets of 237 households and 387 households of Indian southern state Kerala using survey-based questionnaire. The findings from first data set revealed that households considering the adoption of PV were likely influenced by six distinct factors, three motivators and three inhibitors. Second data set for multi-state analytic approach was proposed whereby the research model was tested using structural equation modelling (SEM). The outcomes of SEM were used as inputs for an artificial neural network (ANN) model for forecasting investor investment decision in in renewables. The ANN model was also used to rank the relative influence of significant predictors obtained from SEM.FindingsIn line with the risk–return framework, government subsidies act as primary motivator which helps in overcoming the initial risk of investment in the new technology. Further, low prices and low cost of maintenance are some of the financial motivators which may likely mitigate the long-term apprehension of returns and maintenance cost. Lastly, the strongest motivators of PV investment come from the environmental and financial motivator in the form of PV subsidies, which further solidifies the role of policy interventions in investment decision. The ANN model identified the technical barrier and knowledge and awareness factors play a significant role in forcasting the investor investing decision.Practical implicationsThe study results will be useful for policymakers for framing strategies to attract and influence their investment in renewable energy.Originality/valueBuilding upon behavioural finance and institutional theory, this paper posits that, in addition to a rational evaluation of the economics of the investment opportunities, various non-financial factors affect the household's decision to invest in renewables.

scholarly journals How lead investors build trust in the specific context of a campaign

2019 ◽  
Vol 26 (2) ◽  
pp. 203-223 ◽  
Author(s):  
Li Xiao
Keyword(s):  
Decision Making ◽  
Interpersonal Trust ◽  
Early Stage ◽  
Relational Trust ◽  
Decision Making Process ◽  
Specific Context ◽  
Data Set ◽  
Content Type ◽  
Extreme Risk

Purpose The purpose of this paper is to explore the role of trust in the unobservable decision-making process of lead investors and follow-on investors in the specific context of equity crowdfunding (ECF) campaigns. Design/methodology/approach This work employs a case study approach. The author conducts a three-year inductive field study of Chinese ECF – AngelCrunch. The author gathered both campaign and platform-level data from the selected case covering a period of seven years from 2011 to 2018. The data set used for this study includes the characteristics of 189 online campaigns, 25 face-to-face interviews with the platform managers, early-stage investors and entrepreneurs, first-hand observations and quarterly reports on online campaigns supplemented with informal interviews with the authors for the reports. Findings The findings from this study provide early insights onto the unobservable decision-making process of ECF investors. It demonstrates that lead investors use both selective signalling information and physical interactions with the entrepreneurs to build competence and relational trust on which they rely for making an early pledge. It also shows that follow-on investors differ from lead investors in the process of building trust for decision-making. Furthermore, this work uncovers the role of ECF platforms in facilitating the process of building interpersonal trust for the decision making, with challenges to maintain the notion of platforms in raising a small amount of capital from a large crowd. Research limitations/implications This study is constrained by the limited scale of qualitative elements available. The findings of the study have implications for platform managers, investors and policy makers. Originality/value Building on entrepreneurial finance and trust theory, this work demonstrates how lead investors build competence and relational trust on which they rely to make an early pledge in the context of ECF. The perception of a lead investor and the commitment together with the selective and formative information by the entrepreneur/s are key in follow-on investors’ decision making. This study uncovers that crowdfunding enables additional and valuable information to be assessed by crowd investors to manage extreme risk and uncertainty occurred in early-stage investments. This work also demonstrates that virtual world has its limitations to build interpersonal trust for managing extreme risk.

Controllers as business partners in managerial decision-making

2015 ◽  
Vol 11 (1) ◽  
pp. 24-46 ◽  
Author(s):  
Sebastian Wolf ◽  
Barbara E. Weißenberger ◽  
Marius Claus Wehner ◽  
Rüdiger Kabst
Keyword(s):  
Decision Making ◽  
Structural Equation ◽  
Equation Modeling ◽  
Managerial Decision ◽  
Data Set ◽  
Managerial Decision Making ◽  
Content Type ◽  
Business Partners ◽  
General Managers ◽  
Business Orientation

Purpose The purpose of this study is to examine whether controllers are willing to and/or general managers are expecting them to act as business partners and, hence, to analyze the related consequences from a manager’s point of view. Design/methodology/approach This study is based on a dyadic data set gathered from 112 German head controllers and corresponding general managers in the period of March to May 2009. Drawing on the theory of reasoned action (Fishbein and Ajzen, 1975), the authors examine controllers’ attitude, subjective norm and behavior regarding their participation in managerial decision-making. Further, the authors analyze general managers’ assessment of related outcomes, such as internal efficiency and process improvements and use covariance-based structural equation modeling to test for the theoretical relationships. Findings Results show that controllers’ behavior is strongly influenced by management’s expectations. Moreover, the results support the notion that business partnering is associated with organizational improvements regarding internal processes, decisions and efficiency, thereby increasing the contribution of the controllers’ department to the competiveness of an organization. Research limitations/implications Our study focuses on a limited set of variables and does not incorporate different hierarchy levels, which could be avenues for further research. Still, our findings highlight the importance of management’s expectations as triggers for business-oriented behavior of controllers. Originality/value Theory and empirical evidence in the research area of controllers’ business orientation are still underdeveloped and, therefore, knowledge about the micro-processes and determinants on an individual level for becoming a business partner, as well as on the related outcomes of such a behavior is still limited. The results contribute to literature by highlighting the importance of general managers’ expectations as triggers for business orientation of controllers and its related benefits for the organization.

Islamic microfinance in Mauritania: an investigation into involuntary factors affecting usage

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Vatimetou Mokhtar Maouloud ◽  
Salina Kassim ◽  
Anwar Hasan Abdullah Othman
Keyword(s):  
Structural Equation ◽  
Financial Inclusion ◽  
Primary Data ◽  
Microfinance Institutions ◽  
Cross Sectional ◽  
Content Type ◽  
Factors Affecting ◽  
Specific Dimension ◽  
Islamic Microfinance ◽  
The Impact

Purpose This study aims to identify the involuntary barriers of financial inclusion which are affecting the usage of Islamic microfinance services in PROCAPEC institution located in Nouakchott-Mauritania. Subsequently, it also examines the effect of gender as a moderator in the model. Design/methodology/approach Primary data was collected through a cross-sectional questionnaire from 381 beneficiaries of PROCAPEC – a major Islamic microfinance provider in Mauritania. In methodology, the study uses confirmatory factor analysis to identify relevant involuntary factors affecting usage, followed by structural equation modelling to test the impact of these factors on the usage of Islamic microfinance (IsMF) products. Findings Two of the four factors are statistically significant in affecting the usage of IsMF products, namely, affordability and eligibility. Gender is a moderator in the relationship between affordability and usage, as well as eligibility and usage. Practical implications Policymakers, practitioners and managers of Islamic microfinance institutions can consider these factors and focus on strategies, including pricing and promotion, which aim to further develop the Islamic microfinance industry in Mauritania. Also, reducing documentation required from clients and adopting lenient rules to provide suitable products will enhance the use of IsMF products, which may lead to more customers’ attraction. Originality/value Although several researchers have articulated financial inclusion, this study sheds light on a specific dimension of financial inclusion to determine the factors impacting IsMF products’ usage. In Mauritania, there are few studies about microfinance. This study will be amongst the pioneer contribution to the geographical gap.

A multi-level analysis of mixed gender couple’s food decisions in a tourism context

2019 ◽  
Vol 2 (2) ◽  
pp. 121-144 ◽  
Author(s):  
Guliz Coskun ◽  
Laura W. Jodice ◽  
DeWayne Moore
Keyword(s):  
Decision Making ◽  
South Carolina ◽  
Structural Equation ◽  
Equation Modeling ◽  
Decision Making Process ◽  
Group Level ◽  
Content Type ◽  
Study Results ◽  
Multi Level ◽  
Mixed Gender

Purpose Through application of multi-level structural equation modeling as the data analysis technique, the purpose of this paper is to analyze the group-level impacts on a couple’s food choices during travel at a coastal destination. Design/methodology/approach Researchers obtained 380 individual questionnaires from 190 mixed gender couples (who eat oysters) in Charleston and Beaufort County, South Carolina, USA. Data were collected from both members of the couple during their vacation. Due to missing data and normality issues 5 couples and 30 individuals were eliminated. The remaining data were analyzed with SPSS 21 and EQS 6.2 with advanced confirmatory factor analysis and multi-level (ML) regression techniques. Findings The study results indicated that while women have a more negative attitude than men toward oysters, their intention to eat oysters during vacation is not different from their partner. By detecting the interdependency of responses of individuals within a couple, this study revealed that a ML approach is a more powerful way to understand the decision-making process of couples. Additionally the difference in the results of single- and ML models showed that the latter approach lowers the chance of Type 2 error and provides more accurate results. Originality/value In tourism decision-making literature, the focus has been mostly on the individual despite the collectivistic nature of tourism activity. The current study is the first to analyze a couple’s decision-making process at the group level. Furthermore by collecting data from both members of the group during their vacation, this study has distinguished itself from previous studies.

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