Factor Analysis of Constraints in Financial Feasibility for Results on Sharia Banks

Nizar Alam Hamdani, Arif Budiraharja, Toto Susanto, Didit Supriyadi

2017

Abstract

The development of Islamic banking has always shown positive trends. This can be seen in the annual increase in its assets and market shares. However, in national banking scale, this does not seem to affect national banking assets at all. This is due to the fact that the asset value and market share of Islamic banking are relatively small. This is very ironic considering the majority of Indonesia's population is Muslim. The small market share indicates that there are many Muslims who have become customers of Islamic banks. The data were analyzed using exploratory factor analysis. The number of samples were 76 customers of 8 branches BJB Syariah, selected using the proportional simple random sampling. The results showed that what affected Islamic banking market share was the following factors: marketing, government policies, literacy and human resources. Other research findings that Islamic banks need to raise public awareness about Islamic products because they are not well-informed about Islamic products. And just as important as marketing is human resources. Without improvement in literacy, market share will not grow.

Paper Citation

in Harvard Style

Hamdani N., Budiraharja A., Susanto T. and Supriyadi D. (2017). Factor Analysis of Constraints in Financial Feasibility for Results on Sharia Banks.In 1st International Conference on Islamic Economics, Business, and Philanthropy - Volume 1: ICIEBP, ISBN 978-989-758-315-5, pages 261-266. DOI: 10.5220/0007080502610266

in Bibtex Style

@conference{iciebp17,
author={Nizar Alam Hamdani and Arif Budiraharja and Toto Susanto and Didit Supriyadi},
title={Factor Analysis of Constraints in Financial Feasibility for Results on Sharia Banks},
booktitle={1st International Conference on Islamic Economics, Business, and Philanthropy - Volume 1: ICIEBP,},
year={2017},
pages={261-266},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0007080502610266},
isbn={978-989-758-315-5},
}

in EndNote Style

TY - CONF

JO - 1st International Conference on Islamic Economics, Business, and Philanthropy - Volume 1: ICIEBP,
TI - Factor Analysis of Constraints in Financial Feasibility for Results on Sharia Banks
SN - 978-989-758-315-5
AU - Hamdani N.
AU - Budiraharja A.
AU - Susanto T.
AU - Supriyadi D.
PY - 2017
SP - 261
EP - 266
DO - 10.5220/0007080502610266