Business Ethics and Corporate Social Responsibility from an Islamic Perspective in Halal Enterprises
Keywords:
Islamic Business Ethics, Corporate Social Responsibility (CSR), Halal Industry, Business Performance, Southeast AsiaAbstract
This study examines the relationship between Islamic business ethics, corporate social responsibility (CSR), and business performance within the Halal industry in Southeast Asia. By adopting both quantitative and qualitative approaches, it investigates how adherence to Islamic ethical principles in CSR practices influences organizational outcomes. Data were collected from 200 Halal-certified companies in Malaysia and Indonesia, covering sectors such as food, finance, and cosmetics. Hypotheses derived from the literature were tested using Structural Equation Modeling (SEM), while qualitative insights helped explain how Islamic ethics shape business conduct. The findings indicate that Islamic business ethics positively impact CSR engagement, with CSR acting as a mediator between ethical practices and business performance. Firms that integrate Islamic values into their CSR strategies not only enhance competitiveness and credibility with stakeholders but also achieve improved financial performance. The research highlights the significance of aligning business practices with religious and ethical principles, particularly in the Halal industry, where consumer trust and Sharia compliance are crucial. This study contributes to existing scholarship by providing empirical evidence that Islamic ethics serve as the foundation for responsible business practices and sustainable economic growthReferences
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