Entrepreneurship in Islamic Communities: How Do Islamic Values and Islamic Practices Influence Entrepreneurship Intentions?

Journal of Enterprising Communities: People and Places in the Global Economy, Forthcoming

32 Pages Posted: 21 Jun 2019

See all articles by Farooq Rehan

Farooq Rehan

University of Trier - Faculty of Management

Jorn H. Block

University of Trier - Faculty of Management; Erasmus University Rotterdam (EUR) - Institute of Management (ERIM)

Christian Fisch

University of Trier - Faculty of Management; Erasmus University Rotterdam (EUR) - Department of Applied Economics; Erasmus Research Institute of Management (ERIM)

Date Written: June 17, 2019

Abstract

Purpose: Prior research has investigated the development of Islamic communities. We contribute to this line of research by analyzing the effects of Islamic values and Islamic religious practices on entrepreneurship intentions in Islamic communities. Using theory of planned behavior as a theoretical lens, we also take into account that the relationship between religion and entrepreneurial intentions can be mediated by individual’s attitude towards entrepreneurship.

Design/methodology/approach: We analyze primary data obtained from a sample of 1,895 Pakistani university students. We use structural equation modeling to perform a nuanced assessment of the relationship between Islamic values and practices and entrepreneurship intentions and to account for mediating effects.

Findings: Our results show that both Islamic values and Islamic practices positively influence entrepreneurship intentions. Both effects are mediated by the attitude towards entrepreneurship.

Originality/value: We contribute to prior research on entrepreneurship in Islamic communities by applying a more fine-grained approach to capture the link between religion and entrepreneurship. Further, we contribute to the literature on entrepreneurship intentions by showing that the influence of religion on entrepreneurship intentions is mainly due to religious values and practices, which shape the attitude towards entrepreneurship and thereby influence entrepreneurship intentions in religious communities.

Keywords: Islamic Communities, Islamic Values, Islamic Religious Practices, Entrepreneurship Intentions, Attitude Towards Entrepreneurship, Mediation

Suggested Citation

Rehan, Farooq and Block, Jorn Hendrich and Fisch, Christian, Entrepreneurship in Islamic Communities: How Do Islamic Values and Islamic Practices Influence Entrepreneurship Intentions? (June 17, 2019). Journal of Enterprising Communities: People and Places in the Global Economy, Forthcoming, Available at SSRN: https://ssrn.com/abstract=3405196 or http://dx.doi.org/10.2139/ssrn.3405196

Farooq Rehan

University of Trier - Faculty of Management ( email )

15, Universitaetsring
Trier, 54286
Germany

Jorn Hendrich Block

University of Trier - Faculty of Management ( email )

D-54296
Germany

Erasmus University Rotterdam (EUR) - Institute of Management (ERIM) ( email )

Burgemeester Oudlaan 50
3000 DR Rotterdam, Zuid-Holland 3062PA
Netherlands

Christian Fisch (Contact Author)

University of Trier - Faculty of Management ( email )

Universitätring 15
Trier, 54296
Germany
0049 651 2013033 (Phone)

HOME PAGE: http://www.unternehmensfuehrung.uni-trier.de

Erasmus University Rotterdam (EUR) - Department of Applied Economics ( email )

Netherlands

Erasmus Research Institute of Management (ERIM) ( email )

P.O. Box 1738
3000 DR Rotterdam
Netherlands

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