The Effect of Religiosity, Profit Los And Sharing on Consumer Trust and Intention to Financing in Islamic Bank

With a majority Muslim population, Indonesia has a good market share for Islamic banks. The existence of conventional banks becomes a competition to determine the strategy of Islamic bank managers. This study aimed to examine the effect of honesty and profit-sharing on trust mediation on consumer intentions. This study uses SPSS analysis and the Sobel test to see the role of mediation. Samples were taken as many as 384 respondents from the Muslim community. The analysis results obtained that religiosity significantly affects consumer trust and intentions. Profit and loss sharing significantly impacts confidence and does not affect consumer intentions. Trust can provide a significant mediating role. In terms of increasing the factors that influence consumer intentions, company managers must build consumer trust, the opportunity for a religious community to become a potential target market.

Pressure on Iran’s banks raises chances of collapse

Significance However, the signs of strain are becoming more marked. On December 15, the Central Bank of Iran (CBI) issued an official warning to all financial institutions, threatening legal penalties for bank managers who try to compensate for rising inflation by offering savers higher interest rates than is legally permitted. Impacts If US sanctions are not lifted, further economic deterioration will increase pressure on the banking system. Iran’s blacklisting by the Financial Action Task Force will be an ongoing burden for the banking sector. Tight credit will make it hard for consumers to get even small loans, such as those for which newlyweds used to be automatically eligible. There are no reliable data, but comprehensive restructuring of the banking system would likely cost hundreds of billions of dollars.

Examining the Interconnections between E-CRM, Customer Experience, Customer Satisfaction and Customer Loyalty

This study examines the impact of electronic customer relationship management (E-CRM) on customer loyalty through the mediating effects of customer experience and customer satisfaction in the context of the banking industry. Customer experience and customer satisfaction are considered to be pre-requisite tools for improving and enhancing long-lasting relationships with customers. The study has adopted Stimulus-Organism-Response (S-O-R) model as theoretical support to examine the relationships. To achieve the objectives, the data was gathered from 836 banks’ customers of India. The data was then analyzed using structural equation modeling (SEM) through AMOS. The results revealed that all the relationships were found to be significant and positive and also customer experience and customer satisfaction proved to be mediators on the relationship between E-CRM and customer loyalty. Thus, these empirical results will have both theoretical and managerial implications which will further provide useful insights to the bank managers to improve their long-term relationships with the customers.

Do risk attitude and trust moderate bank managers' risk perceptions in lending to micro, small, medium enterprises?

PurposeThe purpose of this research is to study the antecedents of risk perceptions of bank managers towards micro, small, medium enterprise (MSME) lending, in the situation of information asymmetry, where cognitive factors assume significance over organisational norms of lending.Design/methodology/approachThis study proposed and tested a conceptual model based on the factors identified from literature review and exploratory and quantitative study. Multinomial logistic regression technique is used for quantitative analysis.FindingsThe research postulates that information asymmetry, risk attitude, perceived trust and organizational norms have a significant relationship with branch managers' perceived risk in lending to MSMEs. The research emphasized that the risk attitude of managers and perceived trust moderate the relationship between information asymmetry and perceived risk. The findings and discussions enrich the knowledge about the alleviators of constraints to MSME funding in developing nations despite information asymmetry.Originality/valueAuthors have given holistic view on the risk perception in the financial decision-making process of bank lending. The research highlights the importance of cognitive factors in decreasing the negative impact of information asymmetry on risk perception.

Non-interest income and bank profitability: Evidence from Tunisian banks

This study investigates the impact of banks' diversified income structure on profitability among Tunisian banks during 2010-2018. We examine banks’ profitability using accounting and market measures as relevant indicators. We focus on each category of non-interest income separately rather than on non-interest income as an overall measure to provide a clearer analysis helping bank managers assess relevant strategies, and show that income structure diversification enhances banks’ profitability, albeit with their mixed effects. The empirical analysis of panel data indicates that Tunisian bank’s market-to-book value is very sensitive to all types of non-interest income. Banking activity diversification improves stock market profitability particularly in large banks and a safe macroeconomic environment. However, only fees and commissions incomes increase Tunisian banks’ assets profitability. Positive fees and commissions incomes’ effect is more pronounced for large banks and in a deflationary environment. We conclude by recommending to Tunisian banks, the diversification of their activities and the search for non-interest income while trying to control the costs of adopting these innovations, to take the necessary precautions, and to develop their personal skills.

Assistance in the implementation of the waste bank information system at the waste bank “Wiguna”, Sugihmas

The waste generated by industry and households promotes intensive waste management. However, because the government fails to manage the waste, the community must play an active role in assisting. Plastic waste is a dangerous waste if not managed properly, so that the Wiguna Waste Bank is present with anxiety about the dangers of waste. The administrative management of the Wiguna waste bank still uses conventional bookkeeping. As a result, an information system was created to aid in the administration of the waste bank. The system was designed with the primary features of personal data, waste data, deposit notes, and savings. Waste bank managers benefit from the information system because reports can be easily generated, allowing the principle of accountability to be met.

Research evolution in banking performance: a bibliometric analysis

Banking performance has been regarded as a crucial factor of economic growth. Banks collect deposits from surplus and provide loans to the investors that contribute to the total economic growth. Recent development in the banking industry is channelling the funds and participating in economic activities directly. Hence, academic researchers are gradually showing their concern on banking performance and its effect on economic growth. Therefore, this study aims to explore the academic researchers on this particular academic research article. By extracting data from the web of Science online database, this study employed the bibliometrix package (biblioshiny) in the ‘R’ and VOSviewer tool to conduct performance and science mapping analyses. A total of 1308 research documents were analysed, and 36 documents were critically reviewed. The findings exhibited a recent growth in academic publications. Three major themes are mainly identified, efficiency measurement, corporate governance effect and impact on economic growth. Besides, the content analysis represents the most common analysis techniques used in the past studies, namely DEA and GMM. The findings of this study will be beneficial to both bank managers and owners to gauge a better understanding of banking performance. Meanwhile, academic researchers and students may find the findings and suggestions to study in the banking area.

Financial abuse of older people by third parties in banking institutions: a qualitative exploration

Financial abuse is a significant form of elder maltreatment and is frequently ranked in the top two most common forms of abuse perpetration. Despite this, it is under-identified, under-reported and under-prosecuted. Financial institutions, such as banks, are important environments for identifying and responding to the financial abuse of older people. Traditionally, banks have not always been part of inter-sectorial responses to financial abuse, yet are important stakeholders. The aim of this study is to explore perceptions and experiences of financial abuse in five national banks. Data were collected from 20 bank managers and five members of the National Safeguarding Committee in the Republic of Ireland. Using thematic analysis, four themes were identified: defining a vulnerable adult; cases of financial abuse of vulnerable adults; case responses to financial abuse of vulnerable adults; and contextual issues. The data demonstrate the multiplicity of manifestations and the complexity of case investigation and management. Findings point to the need to enhance banks’ responses, through additional education and training, and promote integrated inter-sectorial collaboration. In addition, a change in societal beliefs is needed regarding financial entitlement, responding to ageism, public awareness of the consequences of financial decisions and types of financial abuse, as well as ensuring such crimes are addressed within the legal system.

The impact of emotional intelligence, employee empowerment and cultural intelligence on commercial bank employees’ job satisfaction

This paper aims to examine the impact of emotional intelligence (EQ), employee empowerment (EE), and cultural intelligence (CQ) on commercial bank employees’ job satisfaction in Bangladesh. For this purpose, a survey questionnaire was developed based on pre-tested constructs. The study used a convenience sampling technique, supplemented by a non-probability sampling method. 200 bank employees were invited to participate in the survey; finally, 130 responses were received as fully complete, with a 65% response rate. Hence, the sample size is n = 130. Cronbach’s alpha value was used to determine the internal consistency of the study constructs. SPSS version 26.0 was used to analyze the correlation test and hypotheses test. The findings show that emotional intelligence (EQ) with a beta (β) value of 0.510 has a statistical and positive effect on bank employees’ job satisfaction. Also, employee empowerment (EE) with a beta value of (β) 0.418 and cultural intelligence (CQ) with a beta (β) of 0.372 were found to be significant predictors of job satisfaction. This indicates that bank managers should utilize EQ and CQ to increase bank employee satisfaction and focus on employee engagement at the workplace. According to the study, if bank employees become more emotionally stable and culturally intelligent at their workplace, they will be more satisfied with their current jobs. Besides, if bank employees are given more opportunities to carry out their job responsibilities, they will be more satisfied with their jobs. The paper outlines several significant implications for commercial bank managers and offers some notable directions for future research.

Gender diversity, board of director’s size and Islamic banks performance

Purpose This paper aims to empirically assess the impact of gender diversity and board of directors’ size on Islamic banks’ performance. Design/methodology/approach Hand-collected data set including 27 banks from 2005 to 2013 is used to investigate the effect of the above mechanisms on banks’ performance as measured by return on equities and return on assets. The study uses pooling regression, which requires estimating a single equation on different cross-sectional data. Specifically, ordinary least squares is used to estimate the model. Findings Obtained results suggest that the presence of women on the board of directors does not have a significant influence on banks’ performance. However, gender diversity in the management department is found to have a negative and significant impact. Besides, the findings prove that the board of directors’ size adversely affects banks’ performance. Research limitations/implications Findings of this study will enhance a better understanding of the interrelationships between performance measures and determinants, which can improve estimations of key inputs in the decision-making process. Such deeper understanding should provide policy and decision makers with an important part of the framework needed to provide quality outcomes. In addition, the results of this study provide some beneficial insights on performance determinants to the policymakers, industry leaders and bank managers. Accordingly, those parties could enhance the profitability of Sudanese Islamic banks by improving capitalisation and assets utilisation and by improving banks operation efficiency, leverage and by reducing the size of the board of directors. Industry leaders and bank managers could also benefit from the findings on bank age, which suggest that they can learn from the experience of newly established banks, as the latter are shown to be able to use their resources to generate more profits. Practical implications Results suggest that in the future, Islamic banks should focus on how to weaken the negative performance effect of female executives’ participation. Besides, banks should work to decrease labour market discrimination and increase long-term career commitment amongst women. Originality/value After reviewing the literature, the research objective was not accounted for by the existing empirical works. Indeed, the role of gender diversity and board of directors’ size on a bank’s performance was not examined in the case of Sudanese Islamic banks.