Factors Influencing Customers Willingness to Pay for Halal Logistics

Abstract

The demand towards an effective and acceptable halal logistics services is timely to meet the requirement of international trade of halal products. The objective of the study is to explore the underlying determinants that are likely to influence the customer willingness to pay (WTP) for halal logistics. The study uses logit model to determine the extent of factors' influence on the respondents' willingness to pay. Findings of the study reveal that respondents are willing to pay for halal logistics, due to the demand and cost towards halal logistics services. Result of this study facilitates the establishment of an efficient and realistic halal logistics policy requirement in Malaysia.