A structural equation model of the halal certification and its business performance impact on food companies

Salindal, Normia Akmad and Ahmad, Mohd Ismail Sayyed and Abdullah, Kalthom and Ahmad, Badruddin Paguimanan (2018) A structural equation model of the halal certification and its business performance impact on food companies. International Journal of Economics, Management and Accounting, 26 (1). pp. 185-206. E-ISSN 1394-7680

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Abstract

Despite the overwhelming popularity of halal certification, there is considerable confusion surrounding its role and business value as well as its relation to business performance. Thus, the aim of this study is to gain better understanding of the relationship between halal certification and the business performance of halal certified food companies in the Philippines. The study was based on a survey and the time horizon was cross-sectional. The survey was carried out using stratified sampling on halal certified food companies operating in the Philippines. Through a self-administered questionnaire, 141 usable responses were acquired from the responding companies. The theorized relationship of halal certification and business performance was tested using confirmatory factor analysis and structural equation modeling (SEM). The findings of this study revealed that halal certification significantly affect business performance of halal certified food companies in terms of innovative and financial performance. It was also revealed that innovative performance fully mediates the relationship between halal certification and financial performance.

Item Type:	Article (Journal)
Additional Information:	5687/70113
Uncontrolled Keywords:	Halal certification, Innovative performance, Financial performance, Innovation, Structural Equation Modeling
Subjects:	H Social Sciences > HB Economic Theory > HB126.4 Islamic Economics H Social Sciences > HB Economic Theory > HB801 Consumption. Demand T Technology > TP Chemical technology > TP368 Food processing and manufacture
Kulliyyahs/Centres/Divisions/Institutes (Can select more than one option. Press CONTROL button):	Kulliyyah of Economics and Management Sciences Kulliyyah of Economics and Management Sciences > Department of Business Administration
Depositing User:	Dr Kalthom Abdullah
Date Deposited:	01 Apr 2019 16:04
Last Modified:	14 Oct 2019 09:16
URI:	http://irep.iium.edu.my/id/eprint/70113

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