Factors Influencing Knowledge of Islamic Banking Products Among Muslim Entrepreneurs

This research focuses on the factors influencing knowledge of Islamic banking products among Muslim entrepreneurs. It is intended to measure the factor that might affect the knowledge of Muslim entrepreneur which include the understanding of underlying principles, religiosity factors and perceptions towards the Islamic banking. This study examines the relationships between the knowledge with all the mentioned factors earlier. A proposed theoretical framework has been developed in knowledge in Islamic banking product, understanding of underlying principles, religiosity factors and perceptions toward Islamic banking. Hypothesized relationships are tested using survey responses from a sample of 300 respondents which consist of the Muslim entrepreneur registered under Companies Commission of Malaysia (SSM) in Sungai Petani. Kedah. In this study, knowledge in Islamic banking product, understanding of underlying principles and perceptions toward Islamic banking it was measured using the scale by (Harun, 2014), while the instrument used for religiosity factors adopted by Idris, et al,. (2011). All the data were analysed using SPSS software by applying the Descriptive Statistics, Pearson correlation and Multiple Linear Regression analysis to achieve the objective of this research. The outcome of the analysis shows of gender and experience in business has no significant relationship of the knowledge in Islamic banking product. Meanwhile, age and education level has significant the knowledge in Islamic banking product. However, at 99% confidence level, all variable is positively correlated with knowledge of Islamic banking products. Using the multiple regression analysis, the study found all variables (underlying principles, religiosity factors and perceptions towards the Islamic banking) are the most influencing variable in knowledge in Islamic banking product. The results reported in this research are useful to both industry and academics by providing relevant exploratory data about the knowledge. Besides that, the results should be able to recommend some future research suggestion with adding factor because factors that have been suggested is the influential factors that affect the knowledge of Islamic Banking Product among Muslim entrepreneur between the underlying principles, religiosity factor and perceptions towards the Islamic banking