Using theory of reasoned action to model the patronisation behaviour of Islamic banks' customers in Malaysia

Abstract

The main purpose of this study is to explore the factors that influence the intention to adopt Islamic banking services in Malaysia using Theory of Reasoned Action as a model. The paper used primary data collected through survey method. The questionnaires were distributed to 350 Islamic banks' customers in Malaysia. The data were then analysed using Structural Equation Modelling. The results suggest that both behavioural belief and evaluation of outcome have a positive effect on the attitude towards Islamic banking services. At the same time, normative belief and motivation to comply were found to have a positive impact on the subjective norm. Finally, both attitude towards Islamic banking services and subjective norm were found to have a positive impact on the intention to adopt Islamic banking services in the context of Malaysia. The findings of the current study imply that Islamic banks in Malaysia should be more active in portraying themselves in real and good image of the Islamic banking practice in their operation. Establishing a good image plays significant role in determining the attitude of the customers about Islamic banking services. Furthermore, the banks should focus on the group influence as part of their strategy to strengthen the image and popularity of the Islamic banking practice in Malaysia. © 2012 Academic Journals Inc.