Technical efficiency of Nigerian insurance companies: a data envelopment analysis and patent growth curve modelling approach

The main purpose of this paper is to investigate the performance of Nigerian insurance companies using Data Envelopment Analysis (DEA). Because of the unavailability of the required data, the study is limited to ten Nigerian insurance companies for the period of five years from 2008 to 2012. The input employed were commission expenses and management expenses, while premium and investment income were used as the output. Data were sourced from the respective insurance websites and African financial websites. DEA was the main methodology used in analyzing the data of this study while ratio analysis (liquid asset to total asset, total equity to total asset and return on asset) was also used in addition to the DEA. The overall result of the Total Factor Productivity (TFP) shows that Nigerian insurance industry is less efficient and this is caused by low level of Technical efficiency (EF) change including Technological change (TECH); this is also confirmed by the result of Latent Growth Curve Modeling (LGCM) which reveals that their efficiency over the period was declining. However, some of the leading insurance companies in terms of performance (TFP) are Leadway insurance, Standard Alliance insurance and Sovereign Trust insurance, among the insurance firms. The results of the ratio on the other hand reveal that Leadway is the highest in terms of profitability, Aiico was more liquid compared to the other firms and Oasis insurance finances more of its asset with shareholder’s fund compared to other insurance firms

The spillover effects of Covid-19 on halal industry: an overview and way forward

This article explores the spillover effects of Covid-19 on halal industry in order to provide a way forward for this industry. Covid-19 pandemic was first discovered in Wuhan city of China before subsequent spread to other countries around the world. To minimise the loss of life and health, governments and global leaders have initiated a series of measures, such as national emergency lockdown, movement restriction (Movement Control Order (MCO), social distancing, suspension of public gatherings beyond a certain number, etc. Albeit essential, these measures have resulted in a major economic crisis with devastating effects on businesses and industries, including halal industry. Against this backdrop, this article, therefore, intends to expose relevant parties in halal industry to the effects of Covid-19 pandemic to better initiate appropriate mechanisms to stabilise this industry and place it on its earlier projected growth trajectory. To achieve its aim, the researcher draws on the real-world observations and relevant publications in this area to discuss the spillover effects of Covid-19 on halal industry with specific focus on three sectors, namely halal food, cosmetics and pharmaceuticals, and Muslim friendly travel. Having discussed the spillover effects of Covid-19 on halal food, cosmetics and pharmaceuticals, and Muslim friendly travel, the way forward and the implications for the halal industry are offered

A survey analysis on abandoned housing projects in Malaysia. The house buyers’ perspectives

The Ministry of Housing and Local Government’s regards abandoned housing projects as a highly serious problem. As of June 2015, Malaysia records 10,403 house buyers being affected from 15,206 abandoned housing units on 53 housing projects. This study, therefore looks into this matter through a survey analysis on 328 house buyers covering 11 states in Malaysia. Lack of enforcement of housing law and policy is detected as one of the main contributing factors of this problem and the house buyers are not adequately protected under the existing law and practices. The developers and the banks have taken advantage of the Sell Then Build (STB) system where associated risks were being transferred to the house buyers through progressive payments and the monthly instalments. The study provides insights to practitioners and policy makers on necessary improvements of the law and policy to protect house buyers’ interests and to avoid abandoned housing projects in Malaysia

Measuring efficiencies of Bangladeshi and Indonesian microfinance institutions: A data envelopment analysis and latent growth curve modeling approach

Purpose: The purpose of this paper is to measure the technical efficiency and growth trajectory of Bangladeshi and Indonesian microfinance institutions (MFIs). The motivation for this study was derived from crucial roles that these institutions play in the socio-economic transformation of any nations, especially Bangladesh and Indonesia which are at least prominent in the Asian context in this regard. Rather than “proving” impact, research endeavors have shifted to focusing on “improving” the impact of MFIs, because the ability to improve their impact as socio-economic transformation platform may be hinged on their efficiency over time. Design/methodology/approach: Data were obtained from MIX market database covering a five-year period from 2007 to 2011 for 20 Bangladeshi and 11 Indonesian MFIs. The data obtained were subjected to both efficiency and trajectory analysis using data envelopment analysis (DEA) based on Malmquist productivity index, independent t-test, and latent growth curve modeling (LGCM). Findings: Overall, DEA results indicate that both Bangladeshi and Indonesian MFIs are approximately efficient under constant returns to scale, variable returns to scale, and scale. There has been an improvement in the management practices of Bangladeshi MFIs, while Indonesian MFIs have increased in optimum size. Independent t-test result shows that Bangladeshi MFIs are significantly efficient in terms of performance and firm’s size compared to Indonesian MFIs, but there is no significant difference in their efficiencies with regard to technology. The intercept and the slope of the regression weight in the estimated model using LGCM are not significantly different. Research limitations/implications: This study measures technical efficiency and growth trajectory of Bangladeshi and Indonesian MFIs over a five-year period. However, future studies could explore this in greater depth by incorporating more data. Practical implications: The research findings have great implications for the Bangladeshi and Indonesian MFIs. Since this study is among the first of its kind, the researchers have paved ways for further investigation in this area. Moreover, the study encourages the Bangladeshi and Indonesian MFIs to be more concerned of their efficiencies. Originality/value: This study measures technical efficiency and growth trajectory of the Bangladeshi and Indonesian (MFIs). These have never been examined together in this way before. © 2018, Emerald Publishing Limited

The role of data-driven marketing strategy in sustaining Halal SMEs

Halal SMEs are often regarded as the engine of economic growth around the world due to their significant contributions to innovation and economy. Despite their impacts, these businesses are faced with enormous challenges in today’s highly competitive environment. To excel in this fierce marketplace, halal SMEs must leverage every available advantage that could contribute to their growth and sustainability. One of such useful tools to adapt quickly to changing market dynamics, compete effectively, and secure longterm success in the marketplace is a data-driven marketing strategy. Thus, understanding the role of this tool has become crucial for these businesses than ever. As such, this study explores the pivotal role of data-driven marketing in sustaining halal SMEs by adopting qualitative research design. Based on this research design, data were collected from 10 academic marketing experts in Malaysia who are also familiar with data analytics. Using thematic analysis, it was discovered that the adopting data-driven marketing strategy can help halal SMEs to make informed decisions, drive customer engagement, and build meaningful connections with the audience. Their ability to use data to create more targeted, effective, and personalised marketing strategies can potentially drive halal SMEs growth and ensure their long-term sustainability. Overall, these findings offer practical implications for halal SMEs regarding the role of data-driven marketing strategies in sustaining these businesses from the perspective of Malaysia

The effects of students’ entrepreneurial characteristics on their propensity to become entrepreneurs in Malaysia

The purpose of this paper is to reflect on the data collected from Malaysian students to investigate the effects of students’ entrepreneurial characteristics (need for achievement, locus of control, propensity to take risk, self-confidence, tolerance of ambiguity and uncertainty, and leadership) on their propensity to become entrepreneurs in Malaysia. Design/methodology/approach – As a quantitative study, various analyses, such as exploratory factor analysis, confirmatory factor analysis and structural equation modelling, were conducted to analyze the data collected from 257 students known to have participated in entrepreneurship course and programmes. Findings – The results show that leadership skill, need for achievement, tolerance of ambiguity, and risk-taking propensity are positively and significantly associated with students’ intention to initiate entrepreneurial activities in Malaysia. Originality/value – The researchers have used data from the perspective of Malaysian students to increase the readers’ understanding on students’ entrepreneurial characteristics that could enhance their likelihood to become entrepreneurs in Malaysia. Keywords Innovativeness, Risk-taking, Entrepreneurial characteristics, Leadership skill, Need for achievement, Tolerance of ambiguit

The impact of COVID‑19 on the banking sector’s efficiency and growth trajectory

The COVID-19 pandemic has had an unimaginable effect on global economies and threatens the efficiency and growth trajectory of the banking sector. The pandemic has disrupted the primary operations of the banking sector, as banks were compelled to close physical branches to adhere to social distancing guidelines. Given the importance of the banking sector to economic development, understanding the consequences of COVID-19 on efficiency and growth trajectory of this sector is crucial for ensuring its sustainability. By drawing data from annual reports of 13 publicly quoted banks in Nigeria from 2019q1 to 2021q2 (pre and post COVID-19), this study investigates the impact of COVID-19 pandemic on efficiency and growth trajectory of the banking sector. The data obtained were mainly analysed using DEA and LGCM. The DEA results show an upward trend in the average scores of technical efficiency, pure technical efficiency, and scale efficiency in both periods. The LGCM results reveal a statistically insignificant difference in banks’ growth trajectory (rate of change) in both periods. Overall, our analyses suggest that the outbreak of COVID-19 does not threaten the efficiency and growth trajectory of the banking sector. However, the insignificant difference between the pre and post nationwide lockdown suggests that there is an insignificant improvement in the efficiency of the banking sector during the post nationwide lockdown period. These findings offer practical implications for banks, regulators, and policymakers regarding the unprecedented uncertainty caused by the COVID-19 pandemic

Do Microtakaful Schemes as Risk Management Tools Contribute to Halal Small Business Sustainability? Evidence from Malaysia

Microtakaful schemes have become increasingly crucial for risk management among halal small businesses. However, little is known about which of the schemes offered contribute to halal small business sustainability. Hence, this study intends to ascertain whether microtakaful schemes as risk management tools contribute to halal small business sustainability. This research adopts a quantitative research design by way of survey methodology to obtain data from halal small business owners and managers in Klang Valley, Malaysia. Additionally, exploratory factor analysis (EFA), confirmatory factor analysis (CFA), and structural equation modelling (SEM) were used to uncover which of the microtakaful schemes significantly contribute to halal small business sustainability. The results show that disability and family microtakaful schemes are positively and significantly related to halal small business sustainability. Whereas property and health microtakaful schemes are found to be positively, but insignificantly related to halal small business sustainability. Meanwhile, our findings on property and family microtakaful schemes reveal that more awareness and education should be prioritised by microtakaful operators

Do microtakaful schemes as risk management tools contribute to Halal small business sustainability? Evidence from Malaysia

Microtakaful schemes have become increasingly crucial for risk management among halal small businesses, however, little is known about which of the schemes offered contribute to halal small business sustainability. Hence, this study intends to ascertain whether microtakaful schemes as risk management tools contribute to halal small business sustainability. This research adopts a quantitative research design by way of survey methodology to obtain data from halal small business owners and managers in Klang Valley, Malaysia. Additionally, exploratory factor analysis (EFA), confirmatory factor analysis (CFA), and structural equation modelling (SEM) were used to uncover which of the microtakaful schemes significantly contribute to halal small business sustainability. The results show that disability and family microtakaful schemes are positively and significantly related to halal small business sustainability. Whereas property and health microtakaful schemes are found to be positively, but insignificantly related to halal small business sustainability. Meanwhile, our findings on property and family microtakaful schemes reveal that more awareness and education should be prioritised by microtakaful operators

Positioning halalan toyyiban in halal food system: production, processing, consumption, marketing, logistic and waste management

The halal food industry is founded based on the concept of Halalan Toyyiban (HT), as commanded in the Qur’an. However, as reflected in the current halal standards, requirements, and practices, the current approach of HT may overlook some components that are supposed to be an integral part of the concept. This article utilises the modern food system approach to frame the discussion for a holistic overview that links the cycle of the current food system and the HT concept towards obtaining its conceptual clarity. The attributes of HT in six different components of the established food system – production, distribution, processing, marketing, consumption and waste recovery; are contextualized. An explicit conceptual clarity of HT shall create a ripple effect towards a change of mindset and behaviour of all stakeholders leading to the attainment of the wholesomeness of HT. Beyond the conceptual clarity, HT attributes can be elegantly positioned in the modern food system as vehicles to provide safe, high quality, good and wholesome food; in an ethical and sustainable ecosystem