Halal Studies and Society

Development strategy for small and medium-scale halal food and beveragesector in Indonesia

Chodijah Puteri Rosadi, Tita Nursyamsiah — Fri, 06 Sep 2024 00:00:00 +0700

Indonesia, with the world’s largest Muslim population, is the leading consumer of halal food and beverage.Despite its substantial consumer base, the country has not been able to capitalize on this demand to increasethe production of halal products. Therefore, this study aimed to identify strengths, weaknesses, opportunities,and threats (SWOT) facing halal food and beverage small and medium enterprises (SMEs) in Indonesia anddevelop growth strategies. The study procedures used Analytic Network Process (ANP) method combined withSWOT network structure to evaluate the factors affecting the sector. The results showed that the most significantstrength was the merger of food science with Islamic principles, while the primary weakness identified was theinsufficient financing and investment available to sector participants. Government backing had also become themost significant opportunity, while the most significant threat was the volatility of global economic conditions. Basedon these results, the strategic priority identified for advancing Indonesian halal food and beverage SEMs was overalldevelopment.

Determinants that affect generation Z consumer loyalty in Wardah skincare

Nur Azhizhah Zhulkarnain, Asep Nurhalim, Yekti Mahanani, Rusni Hassan — Thu, 12 Sep 2024 11:44:11 +0700

In 2022, the skincare market in Indonesia was observed to generate revenue of approximately US$ 2.05 billion. In this market, consumers tend to prefer local products that adhere to the standards of halal and are widely recognized. A prominent, current, and popular skincare brand that has been found to adhere to these standards is Wardah. Between 2020 and 2021, Wardah experienced an increase in market share, showing a growing preference for its products among consumers. However, from 2023 to 2024, a significant decline has been observed in the market share of the brand, signaling a reduction in consumer preference. This trend is a critical concern for the company, as it emphasizes the need to address the factors contributing to the decline and to implement strategies that are capable of enhancing the appeal of products produced by Wardah, enabling the brand to remain competitive. Therefore, this study aimed to analyze the factors influencing the loyalty of Generation Z consumers toward Wardah skincare products in the Jabodetabek region. The demographic was observed because, conventionally, Generation Z, which constitutes around 27% of the population of Indonesia (75 million people), is often targeted as the primary market to build consumer loyalty for the majority of products. In order to achieve the study objectives, a sample of 135 respondents was selected using a non-probability sampling method, specifically the purposive sampling technique. The data was then analyzed using the Structural Equation Model-Partial Least Square (SEM-PLS) method. The obtained results showed that brand trust and perceived value had a significant and positive impact on consumer loyalty. These observations suggest that companies should focus on maintaining and strengthening brand trust, fostering a strong brand community, and raising awareness about the importance of halal certification in skincare products. Additionally, efforts should be made to educate consumers about the value of halal-certified skincare products, as this can further enhance brand loyalty.

Factors influencing intention of lodging service entrepreneurs to run sharia lodging service business

Almas Jilan Aulia, Ranti Wiliasih — Thu, 03 Oct 2024 14:18:42 +0700

Sembungan Village is a predominant Muslim community that won the Pioneer Tourism Village Category at the 2022 Indonesia Tourism Village Award. The strong community backing offers great opportunities for developing halal tourism in the village. Therefore, this study aimed to analyze the factors influencing intention of lodging business actors to operate their business based on Sharia principles in Sembungan Village. By using multiple regression analysis of data from 35 business actors, religiosity and attitudes toward behavior were identified as the main factors influencing intention. The results showed the importance of strengthening religious values and encouraging positive attitudes in promoting and developing Sharia lodging in tourism village.

Halal procurement strategy in the food industry in Indonesia

Albertty Indriansyah, Mohammad Iqbal Irfany, Marco Tieman — Wed, 02 Oct 2024 13:19:12 +0700

Indonesia is a Muslim-majority country with significant potential to develop a solid halal industry. A critical area for growth in this sector is halal procurement, which has been observed to remain under-researched, particularly in the Indonesian context. Therefore, this study aims to address the gap by identifying challenges and proposing strategic solutions for halal procurement in the food industry of the nation. To achieve the stated objective, data was collected through expert interviews, Analytical Network Process (ANP) was adopted as the decision-making methodology, and Strength, Weakness, Opportunity, and Threat (SWOT) analysis was carried out. The results showed that strength factor was the first priority in advancing halal procurement in food sector in Indonesia. Specifically, the most influential factors identified include the availability of raw materials, the lack of value-added commodities, the guarantee of continuous raw material supply, and the presence of numerous global competitors, all of which served as the strength, Weakness, Opportunity, and Threat to the halal food industry.

Halal status and society acceptance of edible insects

Thu, 03 Oct 2024 14:16:49 +0700

Feeding globally is considered a critical challenge for sustainable development, hence, protein, energy, and adequate micronutrients must be sustainably available to alleviate many community problems. In some parts of Indonesia, such as Gunungkidul, Yogyakarta, approximately 60% of people consume protein less than the adequacy level. Therefore, this study aimed to identify halal status of edible insects as a forgotten-fringe food to obtain a potential alternative source of protein-rich food in the future. The goal was to cover households with lower-middle income in fulfilling protein requirements, specifically in food-insecure areas. The results showed that six edible insects were identified as a forgotten indigenous protein source. These insects were forgotten majorly due to taste (yuck), allergies, inferior quality, complicated processing methods, and confusion over halal status. However, the identified forgotten foods had the potential to cover the insecurity condition in Gunungkidul. This might help poor households increase protein intake since often those forgotten foods are cheap and hunted freely.

The halalan thayyiban supply chain in handling blood products of slaughtering cattle, chicken, and pig for feeding and handling al-jallalah 1 (cattle, chicken, and catfish)

Ilham Maryuliano, Nuri Andarwulan — Thu, 03 Oct 2024 14:18:48 +0700

Blood from the slaughter of cattle and chicken, is an economically valuable waste that can not be disposed into the environment. Its application in animal feed requires careful consideration of the composition and potential impact. The Indonesian Ulema Council issued a Fatwa regarding the Law on Livestock Animals Fed with Unclean Items. From a Sharia perspective, the feed composition is crucial, since it needs to be free from unclean ingredients to prevent animals from becoming classified as Al-Jallalah (Livestock Animals Fed with Unclean Items). To ensure compliance with the religious guidelines, it is necessary to implement a quarantine (Al-Istibra) or purification period (Istihalah). Therefore, this study aimed to analyze the halalan thayyiban supply chain in the management of blood from slaughtering ruminants (cattle), poultry (chicken), and pig for feed. Implementation of good practices in managing blood from slaughterhouses was assessed. The suitability of feed labels, including the presence of prohibited ingredients, adherence to good practices, and the application of Al-Istibra or Istihalah in cattle and chicken farms, as well as catfish farming units, was evaluated through questionnaire interviews and conformity scores. The results showed that 2 out of 7 (seven) objects received lower scores due to the limited effectiveness of the Waste Water Treatment Plants (WWTPs) and unclear regulations regarding the use of blood. Based on the suitability value of the feed label, 1 (one) out of 8 (eight) objects received a lower score for failing to meet technical requirements. The feed was contaminated, and there were no operational procedures for implementing Al-Istibra or Istihalah.

Lower middle-class community awareness of halal food and the factors that influence it

Diki Candra Mayadis, Ranti Wiliasih, Mohammad Iqbal Irfany — Fri, 04 Oct 2024 09:53:34 +0700

The middle class forms a substantial segment of the population of Indonesia. However, it is important to recognize that individuals in the lower middle-class, due to their limited income, may have caring levels of concern about the halal status of the food they consume. Therefore, this study aimed to evaluate the awareness of the lower middle-class community regarding halal food and to identify the factors influencing this awareness. In order to achieve the stated objective, the investigation was based on primary data collected from 100 respondents in Tebet, one of the poorest districts in South Jakarta. Using descriptive statistics and logistic regression for analysis, the obtained results showed that the lower middle-class had a high level of awareness regarding halal food. fFactors such as religiosity, halal labeling, price sensitivity, gender, and income were found to significantly influence this awareness.