Effect of general risk on trust, satisfaction, and recommendation intention for halal food

The purpose of this empirical study is to investigate the effect of general risk, a multidimensional factor, on halal customer trust, satisfaction and intention to recommend halal food. The study also calculates the mean comparison of trust, satisfaction and intention recommendation across the demographic variables of halal customers. Our results from the structural analysis revealed that general risk has significant and positive effects on trust, satisfaction, and intention to recommend halal food. In addition, the results of the mean difference test advised that satisfaction and intention to recommend halal food are significantly different between male and female customers and that trust significantly varies across halal customers with different educations and marital status backgrounds. This study added a valuable contribution to the current literature of halal food consumption by performing a set of symmetric analytical approaches to assess desired responses from halal food customers

Expert insights

The 2014-15 State of the Global Islamic Economy Report presents the continuing building of Islamic economy's momentum. Much has happened since the launch of the inaugural State of the Global Islamic Economy Report last year. The Halal Food sector saw investments, such as the Brazilian food group BRF investing $90 million in setting up a production plant in UAE; new Halal testing technologies emerged from France, Malaysia, and UAE; Dubai began marketing its new Halal hubs; MIHAS Malaysia saw record Halal Food exhibitors and deals. Islamic Finance saw the arrival of Sukuk in western jurisdictions of the UK, Luxembourg, Hong Kong and South Africa; Arabesque and SEDCO built momentum around SRI investing; a mega-Islamic bank was announced from Malaysia. In Travel, Maldives saw a hotel investment in a Muslimfriendly resort; Spain, Japan, Philippines and Russia took steps to attract Muslim customers; luxury hotel chain Shaza, that is Halal lifestyle focussed, planned expansion; HalalTrip.com gained traction while HalalBooking.com offered innovative pricing features. Dr. Jonathan A.J. Wilson, listed as a thought leader, appraises findings in: Global Islamic Economy Indicator (GIEI) & State of Islamic Economy Report (SGIE) 2014/201