IDEAS home Printed from https://ideas.repec.org/a/gam/jjrfmx/v15y2022i12p590-d996397.html
   My bibliography  Save this article

Millennial Generation’s Islamic Banking Behavioral Intention: The Moderating Role of Profit-Loss Sharing, Perceived Financial Risk, Knowledge of Riba, and Marketing Relationship

Author

Listed:
  • Asyari

    (Faculty of Islamic Economics and Business, Universitas Islam Negeri Sjech Djamil Djambek Bukittinggi, Kabupaten Agam 26181, Sumatera Barat, Indonesia)

  • Mohammad Enamul Hoque

    (BRAC Business School, BRAC University, Dhaka 1212, Bangladesh)

  • M. Kabir Hassan

    (Department of Economics and Finance, University of New Orleans, New Orleans, LA 70148, USA)

  • Perengki Susanto

    (Department of Management, Faculty of Economics, Universitas Negeri Padang, Padang 25132, Sumatera Barat, Indonesia)

  • Taslima Jannat

    (Faculty of Economics and Management, Universiti Kebangsaan Malaysia, Bangi 43600, Selangor, Malaysia
    Kuala Lumpur Campus, UCSI University, Cheras, Federal Territory of Kuala Lumpur, Cheras 56000, Kuala Lumpur, Malaysia)

  • Abdullah Al Mamun

    (UKM-Graduate School of Business, Universiti Kebangsaan, Bangi 43600, Selangor, Malaysia)

Abstract

Despite tons of studies on Islamic banking (IB) behavior, there is a lack of understanding of the Millennial generation’s attitude to and subjective norms surrounding Islamic banking, as well as of their behavioral intention toward Islamic banking. Therefore, the present study investigates the influence of the Millennial generation’s attitude and subjective norms on their behavioral intention toward Islamic banking products and services. This study also focuses on the moderating roles of profit-loss sharing, perceived financial risk, knowledge of riba, and relationship marketing on the nexus of antecedent and behavioral intent of Islamic banking. This study has developed a conceptual framework, employed a questionnaire to collect data for understudying relationships, and constructed a predictive model. Within the proposed conceptual framework, structural equation modeling is employed to investigate the extent and direction of the link. We discovered that Millennial generation consumers’ attitudes and subjective norms influence and predict their behavioral intention towards Islamic banking. With the exception of perceived financial risk, all moderators have direct effects on behavior intention toward Islamic banking and could be antecedents of behavior intention toward Islamic banking. Profit-and-loss sharing and knowledge of riba moderate the nexus of attitude and behavioral intention and the nexus of subject norms and behavioral intention. Our findings thus extend the literature on Islamic banking and consumer behavior context.

Suggested Citation

  • Asyari & Mohammad Enamul Hoque & M. Kabir Hassan & Perengki Susanto & Taslima Jannat & Abdullah Al Mamun, 2022. "Millennial Generation’s Islamic Banking Behavioral Intention: The Moderating Role of Profit-Loss Sharing, Perceived Financial Risk, Knowledge of Riba, and Marketing Relationship," JRFM, MDPI, vol. 15(12), pages 1-22, December.
    • Handle: RePEc:gam:jjrfmx:v:15:y:2022:i:12:p:590-:d:996397
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/1911-8074/15/12/590/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/1911-8074/15/12/590/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Ajzen, Icek, 1991. "The theory of planned behavior," Organizational Behavior and Human Decision Processes, Elsevier, vol. 50(2), pages 179-211, December.
    2. Abdul-Rahman, Aisyah & Abdul Latif, Radziah & Muda, Ruhaini & Abdullah, Muhammad Azmi, 2014. "Failure and potential of profit-loss sharing contracts: A perspective of New Institutional, Economic (NIE) Theory," Pacific-Basin Finance Journal, Elsevier, vol. 28(C), pages 136-151.
    3. Al-alak, Basheer A., 2014. "Impact of marketing activities on relationship quality in the Malaysian banking sector," Journal of Retailing and Consumer Services, Elsevier, vol. 21(3), pages 347-356.
    4. Mohamed Bilal Basha & Abid Mahmood Muhammad & Gail AlHafidh, 2021. "Bank Selection for SMEs: An Emirati Student Perspective," Transnational Marketing Journal, Oxbridge Publishing House, UK, vol. 9(1), pages 63-87, April.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Chaouali, Walid & Souiden, Nizar & Ladhari, Riadh, 2017. "Explaining adoption of mobile banking with the theory of trying, general self-confidence, and cynicism," Journal of Retailing and Consumer Services, Elsevier, vol. 35(C), pages 57-67.
    2. Maria Andersson & Ola Eriksson & Chris Von Borgstede, 2012. "The Effects of Environmental Management Systems on Source Separation in the Work and Home Settings," Sustainability, MDPI, vol. 4(6), pages 1-17, June.
    3. Tran Huy Phuong & Thanh Trung Hieu, 2015. "Predictors of Entrepreneurial Intentions of Undergraduate Students in Vietnam: An Empirical Study," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 5(8), pages 46-55, August.
    4. Clara Cardone-Riportella & María José Casasola-Martinez & Isabel Feito-Ruiz, 2014. "Do Entrepreneurs Come From Venus Or Mars? Impact Of Postgraduate Studies: Gender And Family Business Background," Working Papers 14.04, Universidad Pablo de Olavide, Department of Financial Economics and Accounting (former Department of Business Administration), revised Sep 2014.
    5. Peng Cheng & Zhe Ouyang & Yang Liu, 0. "The effect of information overload on the intention of consumers to adopt electric vehicles," Transportation, Springer, vol. 0, pages 1-20.
    6. Ruijie Zhu & Guojing Zhao & Zehai Long & Yangjie Huang & Zhaoxin Huang, 2022. "Entrepreneurship or Employment? A Survey of College Students’ Sustainable Entrepreneurial Intentions," Sustainability, MDPI, vol. 14(9), pages 1-15, May.
    7. Alsalem, Amani & Fry, Marie-Louise & Thaichon, Park, 2020. "To donate or to waste it: Understanding posthumous organ donation attitude," Australasian marketing journal, Elsevier, vol. 28(3), pages 87-97.
    8. Pan, Jing Yu & Liu, Dahai, 2022. "Mask-wearing intentions on airplanes during COVID-19 – Application of theory of planned behavior model," Transport Policy, Elsevier, vol. 119(C), pages 32-44.
    9. Benoît Lécureux & Adrien Bonnet & Ouassim Manout & Jaâfar Berrada & Louafi Bouzouina, 2022. "Acceptance of Shared Autonomous Vehicles: A Literature Review of stated choice experiments," Working Papers hal-03814947, HAL.
    10. Jacqueline Ruth & Steffen Willwacher & Oliver Korn, 2022. "Acceptance of Digital Sports: A Study Showing the Rising Acceptance of Digital Health Activities Due to the SARS-CoV-19 Pandemic," IJERPH, MDPI, vol. 19(1), pages 1-16, January.
    11. Jariyasunant, Jerald & Carrel, Andre & Ekambaram, Venkatesan & Gaker, David & Sengupta, Raja & Walker, Joan L., 2012. "The Quantified Traveler: Changing transport behavior with personalized travel data feedback," University of California Transportation Center, Working Papers qt3047k0dw, University of California Transportation Center.
    12. Brown, Philip & Roper, Simon, 2017. "Innovation and networks in New Zealand farming," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 61(3), July.
    13. Teodora Roman, 2009. "Study regarding entrepreneurial intentions among students," THE YEARBOOK OF THE "GH. ZANE" INSTITUTE OF ECONOMIC RESEARCHES, Gheorghe Zane Institute for Economic and Social Research ( from THE ROMANIAN ACADEMY, JASSY BRANCH), vol. 18, pages 87-94.
    14. Messele Kumilachew Aga, 2023. "The mediating role of perceived behavioral control in the relationship between entrepreneurship education and entrepreneurial intentions of university students in Ethiopia," Journal of Innovation and Entrepreneurship, Springer, vol. 12(1), pages 1-18, December.
    15. Kristin Thomas & Evalill Nilsson & Karin Festin & Pontus Henriksson & Mats Lowén & Marie Löf & Margareta Kristenson, 2020. "Associations of Psychosocial Factors with Multiple Health Behaviors: A Population-Based Study of Middle-Aged Men and Women," IJERPH, MDPI, vol. 17(4), pages 1-17, February.
    16. Andreas Falke & Nadine Schröder & Claudia Hofmann, 2022. "The influence of values in sustainable consumption among millennials," Journal of Business Economics, Springer, vol. 92(6), pages 899-928, August.
    17. Kamruzzaman, Md. & Baker, Douglas & Washington, Simon & Turrell, Gavin, 2013. "Residential dissonance and mode choice," Journal of Transport Geography, Elsevier, vol. 33(C), pages 12-28.
    18. Ficko, Andrej & Boncina, Andrej, 2013. "Probabilistic typology of management decision making in private forest properties," Forest Policy and Economics, Elsevier, vol. 27(C), pages 34-43.
    19. Muhammad Shahid Qureshi & Saadat Saeed & Syed Waleed Mehmood Wasti, 2016. "The impact of various entrepreneurial interventions during the business plan competition on the entrepreneur identity aspirations of participants," Journal of Global Entrepreneurship Research, Springer;UNESCO Chair in Entrepreneurship, vol. 6(1), pages 1-18, December.
    20. Radha Jagannathan & Michael J. Camasso & Bagavan Das & Jale Tosun & Sadagopan Iyengar, 2017. "Family, society and the individual: determinants of entrepreneurial attitudes among youth in Chennai, South India," Journal of Global Entrepreneurship Research, Springer;UNESCO Chair in Entrepreneurship, vol. 7(1), pages 1-22, December.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jjrfmx:v:15:y:2022:i:12:p:590-:d:996397. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.