マレーシア研究第４号（2015 年）【Symposium】

The Study of Muslim Intention to Become
Muslimpreneurs
Salmah S.1, Kalsom A.W2 & Asmaddy H3. & Nordin A.R4

Introduction
Becoming an entrepreneur is not a fate but a decision made by individuals. Despite thecommon challenges such as uncertainties, barriers, failure in making decisions andrisks that may lead to the failure of the entrepreneur growth in their business (Nandan,
2007), people still have intentions and determinations to become entrepreneurs. The

core intention covers the motivational factors that influence individuals to perform
certain behaviours (Ajzen, 1991). Literature shows that many reasons influence theintention of individuals and amongst other factors, religion is regarded as a core factor.
Religion influences the attitude, values, behaviors of people at both the individual andthe societal levels (Safiek Moklis, 2009 & Khraim, 2010); their way of life (Oukil, 2013);
and entrepreneur’s activities in terms of their decision to become entrepreneurs or
select their jobs (Dodd et al., 1999). However, Basu and Altinay (2002) stated that the
influence of religion needs to be studied further, especially focusing on the aspect ofMuslim entrepreneurs as it is contrary to the conventional ways. Carswell (2007)
supported this view and strongly suggested that further studies on religion andentrepreneurship are needed and that these two studies are relatively still untouched.
In addition, Ali (2009) lamented that, there are lots of literature highligtening thecontribution of religion and its impact on behaviour and performance, but unfortunately
the contribution of the Islamic elements was ignored even though Islam shared manythoughts with other religions and also offers a very unique perspective on balancing
work and life, and on the nature of organizational work and activities. Kayed et al.
Salmah Sathiman, PhD student, Faculty of Economics and Muamalat, University Sains Islam
Malaysia (USIM).
2 Kalsom, Ab. Wahab, Associate Professor Faculty of Economics and Muamalat, University
Sains Islam Malaysia (USIM).
3 Asmaddy Haris, Associate Professor Faculty of Economics and Muamalat, University Sains
Islam Malaysia (USIM).
4 Nordin Abd. Rahman, Associate Professor University Putra Malaysia (UPM)
1

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The Study of Muslim Intention to Become Muslimpreneurs(2010) also stated that the discussion on Islam and entrepreneurship is under presented

and not well discussed. From these analogies and suggestions, one could assume that
there is a huge study gap in the study of Islamic entrepreneurship, especially within theIslamic countries themselves. Thus, in Malaysia, where Islam is the official religion, theintention of Muslims to become entrepreneurs is interestingly to be understood andexplored.

Ⅰ

Overview on Islamic Entrepreneurship

1. The Islam and Entrepreneurship
Islam is a way of life (Ad din), encompassing all parts of human life, such as economic,
social, political, and moral, where all aspects are interrelated (Pramanik, 2002 &Ahamad Asmadi et al., 2012). The way of doing Islamic business is inclusive in the Fiqh

muamalat5, which is related to the social relationship between human and others
inclusively (Abdullah et al., 2011). In fact, the Prophet was once an entrepreneur before
he became a prophet.
For Muslims, things that are allowed and prohibited are clearly stated in the
Shari ’ah or Islamic Law. Muslims believe that man is the best form of creation ascompared to other creations as stated in the Al-Qur’an (Surah At-Tiin (95):4; & Surah
Al-Isra’ (17):70) and is appointed as a khalifah or caliph; entrusted as the caretaker ofthe earth, to not destroy or cause any damage to the environment (Surah Al-An’am(6):165, Surah Al Baqarah (2):30 & Fatir (35):39). Indeed, man holds three main duties

which are: responsibility to Allah The Almighty (Hablumminal’ Allah), responsibility
between mankind (Hablumminan nas), and responsibility to the earth (Hablumminalam) (Surtahman Kastin, 2001).
All human actions if they are performed according to the principles are taken as
acts of worship (ibadah) to Allah The Almighty (Yusuf Al Qaradawi, 1998). Therefore,
doing business and complying with the Islamic lawful manner are also considered an

ibadah (Syahida et al., 2013). Muslims were asked to prosper their basic survival andphysical needs as well as to accumulate wealth (Kriger & Seng, 2005 & Yusuf
Al-Qaradawi, 1988). However, in Islam, a small portion from the wealth created must

5 Fiqh muamalat related to the social relationship between a person and others including theway of business (Abdullaah et al., 2011 & Surtahman, 2001)3

マレーシア研究第４号（2015 年）

be contributed to help the poor and or the less fortunate. The need to perform this
responsibility has been emphasized by the Prophet, peace upon him, as he stated thata relationship between one Muslim and another Muslim is a relationship that ofbrothers and sisters. Muslims are not to hurt the feeling of other Muslims andwhoever helps other Muslims, easing them from any problem or difficulty, Allah The
Almighty will help this person in hereafter (Shahih Bukhari. Book 29. Hadith #2262).
Provisions for the poor can be provided through alms, givings (sadaqah), and taxes.
2. The Understanding of Muslimpreneur
Not all Muslims conducting business activities can be categorized as Muslim
entrepreneurs. Some Muslims adhere and apply the Islamic principles yet someMuslims only perform a partial act, while some others may not perform nor comply tothem at all (Oukil, 2013). As an example, a study amongst Muslim immigrants in
London showed that, there are many Muslims who actually disobey the Islamicprinciples in their business premises by selling and even serving alcohol or pork
because such acts would bring more business profits (Basu & Altinay, 2002). How can
we find the element of Muslim entrepreneurship in the cases like these?
Vargas-Hernandez et al. (2010) stressed that a Muslim entrepreneur is a person who
always acts according to the Islamic principles and values regardless of place and time.
Muslim entrepreneurs are concerned with permissible profits and their main motive of
doing business is to achieve something beneficial to himself, to enhance the economy of
the society, and to aspire good deeds for hereafter. In the same vein, Oukil (2013)
defined a Muslim entrepreneur as a person who will and shall always act according to
the Islamic principles and values.
Researchers chose to refer to Muslim entrepreneurs as Muslimpreneur. As
mooted by Ummi Salwa et al. (2013),

Muslimpreneurs are described as “Muslims

who perceive an opportunity and create an organization to pursue it” (page 62) and M.
Faizal et al. (2013) defines Muslimpreneurs as “Muslims who are involved inentrepreneurial activities, perceive an opportunity and creates organization to pursue
it based on the Islamic principles” (page 4). The crucial aspect of becoming a
Muslipreneur is that one needs to obey the Islamic principles.

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The Study of Muslim Intention to Become Muslimpreneurs

3. Intention to become Muslimpreneurs
From the Islamic perspective, the intentions is more essential than the outcomes (Syed &Ali, 2010) as referring to The Prophet saying,“All action is based on niyyah (intention). The reward of deed depends upon theniyyah and every person will get rewarded according to what he has intended”
Narrated by Umar bin Al Khattab (Sahih Bukhari. Book 1. Chap.1. Hadith #1).
A correct niyyah in pursuing economic activities is also stressed by Imam Al
Ghazali (Muslim scholar), in which he states that the intentions are consistent with the
Shari ’ah, such activities are similar to worship and consistent with one’s religious call(S. Mohammad Ghazanfar, 1997). Thus, the niyyah with the core purpose of obtaining theblessing from Allah The Mighty will lead to positive behaviors.
The conventional studies on the intention highlighted few factors that encourage
individuals to become entrepreneurs mainly for the feeling of independence, income,and security. Some of the studies can be summarized as shown in Table 1.
From a study conducted by Ahmad Zaki & Mohd Fadzely (2006), besides all thosemotivational factors discussed earlier, they added another important element, theexistence of spiritual liability amongst Muslims in Malaysia. They stressed thatspiritual liability was the most influential factor that motivated Malay entrepreneurs tostart their own business (other factors are financial security and personal satisfaction).
Their Islamic beliefs created the feeling of responsibility for their development, family,
and the Malay Muslim community, and ensured the compliance to the Islamic rules andregulation. This finding showed that Muslims are inspired by both the materialistic andthe spiritual motivation forces. Nevertheless, a recent study by Chong (2012) indicateddifferent findings whereby Malays, mostly Muslims, are more inspired by income, andan attitude of proving they could do it, own satisfaction, and personal freedom.
Furthermore, Rosnia et al. (2012) stated religion becomes less significant, listed as thenumber eight reason next to passion, interest, money, independence, and freedom
working time. So, does this mean that the intention of Muslims in Malaysia has taken amajor change towards more materialistic factors? This research will further explore thismatter.

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マレーシア研究第４号（2015 年）

Table 1: The Summary of Entrepreneur Motivation Factor
Researcher

Most significant motivation factor

Basu et al. (2002)

To be independent, greater control of life, improve social
status, and make best use of their expertise.

Alstete (2002)

Greater control of their destiny, greater satisfaction, moremoney, and leave a legacy for children and family.

Swierczek et al. (2003)

Challenge and achievement than necessity and economic
security.

Benzing, Chu& Callanan (2005)

North Vietnam - Hanoi: creating job opportunity forthemselves and family.
South Vietnam - Ho Chi Minh City: for their own satisfaction
and growth.

Robichaud et al. (2010)

Own satisfaction and growth, to have fun, to prove one can doit, and to be own boss.

Stefanovic et al. (2010)

Greater business achievement, independence
instrinsic factor, and job security factor.

IIfactor,Methodology

In order to understand the actual intention of Muslims to become Muslimpreneurs,
five young emerging entrepreneurs were randomly selected. Interview sessions wereconducted with all of them individually and their respective identities were marked
and labelled as R1 to R5. They were asked two questions which became the focus of
this study. The questions were:i) How do they understand the term Muslimpreneur; andii) What are the basic motivations and or intentions of Muslims to become
Muslimpreneurs?

III

Finding and Discussion

1. The Understanding of Muslimpreneurs
For the first question, which is about their understanding on Muslimpreneur, therespondents clearly mentioned that Muslims can be identified as Muslimpreneurs if
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The Study of Muslim Intention to Become Muslimpreneurs

they practice their business according to the Shari ’ah law which includes the elementof the do’s (halal) and don’ts (haram). Their responses are listed in Table 2.
Table 2: The Understanding on Muslim Entrepreneur
Respondent

Statement

Main ideas generated

R1“In the context of Islamic business, the attention
should be given to halal (allowed) and haram(not allowed). We should know allowable andprohibited business activities.”

Attention should begiven to the allowed andprohibited activity.

“Whatever they do in the business must be
according to the Islamic Principle”.

Business must be
according to Islamic
Principle.

R3“Must obey all the Allah The Almighty
instructions and our behavior also must show asa Muslim”.

Must obey to the Islamic
rules and behave like a
Muslim.

R4“Entrepreneur is relating with the effort. For
Muslim entrepreneur, it means Muslim
entrepreneur who put their effort and hope toAllah The Almighty”.

Must put an effort andhope to Allah The
Almighty.

R5“Muslim entrepreneur is entrepreneur who
operate their business according to Shari ’ahwhich mean particularly about the halal andharam.”

Must operate businessaccording to Shari ’ah.

R2

Analyzing the statements of the respondents, the researcher found somesimilarities with the definition provided by M.Faizal et al. (2013) which is, they bothstressed on the need to pursue entrepreneurial activities based on the Islamicprinciple. Therefore, this study suggests that the definition of Muslimpreneurs as
those who are involved in entrepreneurial activities in line with the Islamic principles.
The entrepreneurial activities may refer to “the enterprising human action in pursuitof the generation of value, through the creation or expansion of economic activity, byidentifying and exploiting new products, processes or markets” (Nadim et al. in OECD,2008). Thus, for Muslims, Muslimpreneurs must perform their entrepreneurial

activities according to the Islamic principles, which is basically to follow the Islamic
do’s and don’ts as according to Shari ’ah and to seek blessing from Allah The Almighty.

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マレーシア研究第４号（2015 年）

In order to comply with Shari’ah, Muslimpreneurs must have knowledge of theIslamic business principles.
2. The Intention of Muslim Becoming Muslimpreneurs
Answers to the second question on the intention of Muslims to become
Muslimpreneurs are summarized in Table 3. Despite the wealth creation, time forfamily and for better standard of living which are stated in many conventional studies,
the respondents emphasized few factors that relate closely with the religious needs.
The respondents stressed that, their intention to become entrepreneurs are: toperform their worship (ibadah) to Allah The Almighty (R5), feeling of the responsibility
to help provide halal products for the Muslim community (R4), and for future Muslim
economic development (R3 & R4). Besides that, helping others such as poor people andestablish a care centers for less fortunate children (R1, R3 & R5) were recognized as apart of their intention.
Table 3: The Summary of the Intention to Become Muslimpreneurs
Respondent

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Main idea generated

R1

For the betterment of living standard, family and helping other people.

R2

To help and provide all the family needs, to be a family’s example, haveample time for family.

R3

For the personal economic and the goodness of individual and Muslim
society.

R4

The feeling of responsibility to provide halal products for Muslim; good
information on product and sell if it is needed by the right customer, eg. It is
unethically to sell to the drug addict; and have free time for family.

R5

Wealth creation
Helping poor people through the wealth created.
Helping family members for medical treatment.
Leave wealth to the next generation. Besides that to help other Muslims tobe successful in business too.
Establish care centre for handicap kids
Whatever business is ibadah as long the intention from the beginning is for
Allah The Almighty.

The Study of Muslim Intention to Become Muslimpreneurs

IV

Conclusion

The intention of Muslims to become entrepreneurs has coincided with the findings fromthe conventional study. The factors relevant are as such for them to gain their respective
wealth. This notion of achieving the wealth can be related with the spirit of one Muslim
to help other Muslims. Furthermore, this relationship between gaining the wealth andworshipping can be related to one another as well. The notion of worshipping isimportant for attaining the blessing from Allah The Almighty. For these reasons, thefindings of this study provide us with some clues, in finding out the intentions ofMuslims to pursue the way of becoming Muslimpreneurs. This conclusion leads us tothink that it is important for Muslims to gain related knowledge when attempting toestablish a new business. A new business must be established according to the Islamic
ways of doing business.

V

Limitation of study

Though the findings from this study are limited to the perspectives of Muslims in
Malaysia, they can help to build the fundamental frameworks and structure for better
research with larger number of respondents in the future.

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