Publication:
Exploring the Consumers’ Critical Factors in Developing Islamic Financial Product of SME Bank

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Date

2022

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Fakulti Ekonomi dan Muamalat, Universiti Sains Islam Malaysia

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Abstract

The banking and financial services industry is extremely competitive, and customers may simply discard any inferior products that are less attractive to them. To protect and enhance the reputations of those institutions that associate their name with it, the product offered must be sound in all respects. In addition, new generations of well-informed customers are demanding distinct and sophisticated products. In view of the facts, in order to ensure a continued presence in the market, banks and financial institutions should focus their resources and talents on serving the customer. Product development is therefore an integral part of the quest to serve the client, thus requiring a further study of consumer behavior (Gainor, 2000). By doing this, it will inform the financial institutions about customers’ satisfaction and their expectations to new products developed. With respect to this argument, the study utilizes a framework that comprises six constructs underpinned by the Technology Acceptance Model, dedicated to analyzing the customer’s attitudes towards the current Islamic financial product development of the SME bank in Malaysia. The quantitative results of the study revealed that six factors Knowledge, Awareness, Perceived ease of Use, Service Quality, Utilities, and Acceptance are significant to impact the Consumer’s Attitude.

Description

e-Proceedings of The 10th Islamic Banking, Accounting and Finance International Conference 2022 (iBAF2022): “Future-Proofing for Business Excellence Through Islamic Banking, Accounting and Finance”/ Editors: Norhaziah Nawai, Khairil Faizal Khairi, Suhaila Abdul Hamid, Muhamad Azrin Nazri, Nur Ainna Ramli, Sumaiyah Abd Aziz, Mohd Adha Ibrahim, Syadiyah Abdul Shukor. 13th-14th September 2022 (Virtual Conference) Organized by: Faculty of Economics and Muamalat, Universiti Sains Islam Malaysia

Keywords

Consumers behavior; Product Development; SME Bank

Citation

Nawai, N., Khairi, K. F., Abdul Hamid, S., Nazri, M. A., Ramli, N. A., Abd Aziz, S., Ibrahim, M. A., & Abdul Shukor, S. (Eds.). (2022). e-Proceedings of The 10th Islamic Banking, Accounting and Finance International Conference 2022 (iBAF2022) : “Future-Proofing for Business Excellence Through Islamic Banking, Accounting and Finance.” Universiti Sains Islam Malaysia. https://fem.usim.edu.my/ibaf2022-proceeding/

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