Customers' preferences in selecting Islamic banks in Gulf Cooperation Council (GCC) countries

Main Article Content

Abdelrhman Ahmad Meero
Nishad Nawaz Maditheti
صندلی اداری

Abstract

The present study aim to investigate relationship between religion, higher profitability on investment, sharia board audit, services (faster/friendly), bank reputation, product and service quality and to know which variable more influence in selecting Islamic banks in GCC countries. The study adopted convenience sampling. 101 completed questionnaires were chosen for analysis. The study found that there is no relationship in between consumer preferences and higher profitability on investment, services (faster/friendly), bank reputation, but there is, however, a significant relation with regards to religion, sharia board audit and product and service quality and paper provide fresh insights to the Islamic banks and recommendations, study implications, future research possibilities also discussed.

Downloads

Download data is not yet available.

Article Details

Section
Articles
Author Biography

Nishad Nawaz Maditheti, College of Business Administration, Kingdom University

Assistant Professor

College of Business Administration,

Kingdom University

References

ABDUH, M.; KASSIM, S.; DAHARI, Z. (2012) Customer satisfaction and switching behavior in Islamic banking: evidence from Indonesia. School of Doctoral Studies (European Union) Journal, Table 1, p. 209–215. Retrieved from www.bi.go.id

AHMAD, K.; RUSTAM, G. A.; DENT, M. M. (2011) Brand preference in Islamic banking. Journal of Islamic Marketing, v. 2, n. 1, p. 74–82. DOI: 10.1108/17590831111115259

ALMOSSAWI, M. (2001) Bank selection criteria employed by college students in Bahrain: an empirical analysis. International Journal of Bank Marketing, v. 19, n. 3, p. 115–125. DOI: 10.1108/02652320110388540

AMIN, M.; ISA, Z. (2008) An examination of the relationship between service quality perception and customer satisfaction: A SEM approach towards Malaysian Islamic banking. International Journal of Islamic and Middle Eastern Finance and Management, v. 1, n. 3, p. 191–209. DOI: 10.1108/17538390810901131

AMIN, M.; ISA, Z.; FONTAINE, R. (2013) Islamic banks: contrasting the drivers of customer satisfaction on image, trust, and loyalty of Muslim and non-Muslim customers in Malaysia. International Journal of Bank Marketing, v. 31, n. 2, p. 79–97. DOI: 10.1108/02652321311298627

ASCARZA, E.; EBBES, P.; NETZER, O.; DANIELSON, M. (2017) Interest free banking in Turkey : a study of customer satisfaction and bank selection. Journal of Marketing Research, v. 54, n. 3, p. 347–363. DOI: 10.1509/jmr.15.0442

AWAN, H. M.; BUKHARI, K. S. (2011) Customer’s criteria for selecting an Islamic bank: evidence from Pakistan. Journal of Islamic Marketing, v. 2, n. 1, p. 14–27. DOI: 10.1108/17590831111115213

BASHIR, A.-H. M. (1999) Risk and proftablity measures in Islamic banks : the case of two Sudanese banks. Islamic Economic Studies, v. 6.

CRONIN, J. J.; TAYLOR, S. A. (1992) Measuring service quality: a reexamination and extension. Journal of Marketing, v. 56, n. 3, p. 55. DOI: 10.2307/1252296

DELENER, N. (1994) Religious contrasts in consumer decision behaviour patterns: their dimensions and marketing implications. European Journal of Marketing, v. 28, n. 5, p. 36–53. DOI: 10.1108/03090569410062023

DUSUKI, A. W.; ABDULLAH, N. I. (2007) Maqasid al-Shari`ah, Maslahah, and corporate social responsibility. The American Journal of Islamic Social Sciences, v. 24, n. 1, p. 25–45. DOI: 10.1007/978-3-642-40535-8

ECHCHABI, A.; OLANIYI, O. N. (2012) Malaysian consumers’ preferences for Islamic banking attributes. International Journal of Social Economics, v. 39, n. 11, p. 859–874. DOI: 10.1108/03068291211263907

EROL, C.; KAYNAK, E. (1990) Conventional and Islamic banks: patronage behaviour of Jordanian customers. International Journal of Bank Marketing, v. 8, n. 4, p. 25–35. DOI: 10.1108/02652329010004231

EROL, G.; EL-BDOUR, R. (1989) Attitudes, behaviour, and patronage factors of bank customers towards Islamic banks. International Journal of Bank Marketing, v. 7, n. 6, p. 31–37. DOI: doi:10.1108/02652328910132060

FAROOK, S.; KABIR HASSAN, M.; LANIS, R. (2011) Determinants of corporate social responsibility disclosure: the case of Islamic banks. Journal of Islamic Accounting and Business Research, v. 2, n. 2, p. 114–141. DOI: 10.1108/17590811111170539

FOMBRUN, C. J.; VAN RIEL, C. B. M. (1997) The reputational landscape. Corporate Reputation Review, v. 1, n. 1, p. 5–13. DOI: 10.1057/palgrave.crr.1540024

GAIT, A.; WORTHINGTON, A. (2008) An empirical survey of individual consumer, business firm and financial institution attitudes towards Islamic methods of finance. International Journal of Social Economics. DOI: 10.1108/03068290810905423

HAQUE, A.; OSMAN, J.; ZAKI, A.; ISMAIL, H. (2009) Factor influences selection of Islamic banking: a study on Malaysian customer preferences. American Journal of Applied Sciences, v. 6, n. 5, p. 922–928.

HARON, S.; AHMAD, N.; PLANISEK, S. L. (1994) Bank patronage factors of Muslim and Non‐Muslim customers. International Journal of Bank Marketing, v. 12, n. 1, p. 32–40. DOI: 10.1108/02652329410049599

HEGAZY, I. A. (1995) An empirical comparative study between Islamic and commercial banks selection criteria in Egypt. International Journal of Commerce and Management, v. 5, n. 3, p. 46–61. DOI: 10.1108/eb047313

HOSSAIN, M.; LEO, S. (2009) Customer perception on service quality in retail banking in Middle East : the case of Qatar. International Journal of Islamic and Middle Eastern Finance and Management, v. 2, n. 4, p. 338–350. DOI: 10.1108/17538390911006386

ISLAMIC FINANCIAL SERVICES BOARD. (2017) Islamic financial services industry. Islamic financial serIvices industry stability report 2017. Retrieved from http://www.ifsb.org

ISLAMIC FINANCIAL SERVICES BOARD. (2018) Islamic financial services industry stability report.

LEE, K. H.; ULLAH, S. (2011) Customers’ attitude toward Islamic banking in Pakistan. International Journal of Islamic and Middle Eastern Finance and Management, v. 4, n. 2, p. 131–145. DOI: 10.1108/17538391111144524

MANSOUR, W.; BEN ABDELHAMID, M.; MASOOD, O.; NIAZI, G. S. K. (2010) Islamic banking and customers’ preferences : the case of the UK. Qualitative Research in Financial Markets, v. 2, n. 3, p. 185–199. DOI: 10.1108/17554171011091746

METAWA, S. A.; ALMOSSAWI, M. (1998) Banking behavior of Islamic bank customers : Perspectives and implications. International Journal of Bank Marketing, v. 16, n. 7, p. 299–313. DOI: 10.1108/02652329810246028

MOHAMAD, S.; SORI, Z. M.; SHAH, M. (2015) Shariah governance: effectiveness of shariah committees in Islamic banks in Malaysia. SSRN. DOI: 10.2139/ssrn.2555373

NASER, K.; JAMAL, A.; AL-KHATIB, K. (1999) Islamic banking: A study of customer satisfaction and preferences in Jordan. International Journal of Bank Marketing, v. 17, n. 3, p. 135–151. DOI: 10.1108/02652329910269275

AHMAD, N.; HARON, S. (2000) Perceptions of Malaysian corporate customers towards Islamic banking products & services. International Journal of Islamic Financial Services, v. 3, n. 4, p. 1–16.

OKUMUS, H. S.; GENC, E. G. (2013) Interest free banking in Turkey : a study of customer statisfaction and bank selection. Euoropen Scientific Jounal, v. 9, n. 16, p. 1857–7881.

OTHMAN, A.; OWEN, L. (2001) The multi dimensionality of carter model to measure customer service quality (SQ) in Islamic banking industry: a study in Kuwait finance house. International Journal of Islamic Financial Services, v. 3, n. 4, p. 1–12.

PAUL, J.; MITTAL, A.; SRIVASTAV, G. (2016) Impact of service quality on customer satisfaction in private and public sector banks. International Journal of Bank Marketing, v. 34, n. 5, p. 606–622. DOI: 10.1108/IJBM-03-2015-0030

PETTICREW, M.; ROBERTS, H. (2006) Systematic Reviews in the Social Sciences: A Practical Guide. Blackwell. DOI: 10.1027/1016-9040.11.3.244

RAHMAN, A. A.; BUKAIR, A. A.; AWADH BUKAIR, A. (2013) The influence of the shariah supervision board on corporate social responsibility disclosure by Islamic Banks of Gulf Co-Operation Council Countries. Asian Journal of Business and Accounting, v. 6, n. 2, p. 2013.

RAMDHANI, M. A.; RAMDHANI, A.; KURNIATI, D. M. (2011) The influence of service quality toward customer satisfaction of Islamic sharia bank. Australian Journal of Basic and Applied Sciences, v. 5, n. 9, p. 1099–1104. Retrieved from http://www.scopus.com/inward/record.url?eid=2-s2.0-81755188001&partnerID=MN8TOARS

STAFFORD, M. R. (1996) Demographic discriminators of service quality in the banking industry. Journal of Services Marketing, v. 10, n. 4, p. 6–22. DOI: 10.1108/08876049610124554

SAQIB, L.; FAROOQ, M. A.; ZAFAR, A. M. (2016) Customer perception regarding Sharī‘ah compliance of Islamic banking sector of Pakistan. Journal of Islamic Accounting and Business Research, v. 7, n. 4, p. 282–303. DOI: 10.1108/JIABR-08-2013-0031

SIDDIQUE, M. N.-E.-A. (2012) Bank selection influencing factors : A study on customer preferences with reference to rajshahi city. Asian Business Review, v. 1, n. 1, p. 80–87. DOI: 10.18034/abr.v1i1.340

SOUIDEN, N.; RANI, M. (2015) Consumer attitudes and purchase intentions toward Islamic banks : the influence of religiosity. International Journal of Bank Marketing, v. 33, n. 2, p. 143–161. DOI: 10.1108/IJBM-10-2013-0115

TAMEME, M.; ASUTAY, M. (2012) An empirical inquiry into marketing Islamic mortgages in the UK. International Journal of Bank Marketing, v. 30, n. 3, p. 150–167. DOI: 10.1108/02652321211222531

LEVESQUE, G. H. G. M. T. (1996) Determinants of customer satisfaction in retail banking. Transportation Research Record, v. 14, n. 7, p. 12–20.

USMAN, H. (2015) The role of religious norms in selectionof Islamic banking. Al-Iqtishad, v. 7, n. 1, p. 31–44.

VAN ALPHEN, A.; HALFENS, R.; HASMAN, A.; IMBOS, T. (1994) Likert or Rasch? Nothing is more applicable than good theory. Journal of Advanced Nursing, v. 20, n. 1, p. 196–201. DOI: 10.1046/j.1365-2648.1994.20010196.x

BOYD, W. L.; LEONARD, M.; WHITE, C. (1994a) Customer preferences for financial services: an analysis. International Journal of Bank Marketing, v. 12, n. 1, p. 9–15.

ZAINOL, Z.; SHAARI, R.; ALI, H. M. (2009) A comparative analysis on bankers’ perceptions on Islamic banking. International Journal of Business and Management, v. 3, n. 4, p. 157–168. DOI: 10.5539/ijbm.v3n4p157

ZAMEER, H.; TARA, A.; KAUSAR, U.; MOHSIN, A. (2015) Impact of service quality, corporate image and customer satisfaction towards customers’ perceived value in the banking sector in Pakistan. Marketing Intelligence and Planning, v. 33, n. 4, p. 442–456. DOI: 10.1108/IJBM-01-2014-0015.

فروشگاه اینترنتی