The likelihood of using crowdfunding-Waqf model in Malaysia

Abstract

Purpose This paper investigates the probability that people (prospective donors) would be willing to use the crowdfunding-Waqf model (CWM), depending on certain variables and characteristics. This study aims to develop an alternative financial model to address Malaysia’s Waqf land financing problem. Design/methodology/approach A survey study was conducted to assess the probability that people would be willing to use the CWM. This study used descriptive analysis and the logistic regression model as analytical tools. Descriptive analysis was conducted using frequencies, which means the number of respondents for each variable or item, such as demographic variables. The logistic regression model was used to obtain the probability that individuals would be willing to use the CWM, based on certain variables. Findings This study found that perceived usefulness, perceived ease of use, gender and Waqf knowledge positively affected the likelihood that people would willingly use the CWM for developing Waqf land. In contrast, other factors such as age group, marital status, income level, internet usage, perceived risk of crowdfunding and Waqf perception did not affect this likelihood. Further investigation indicated that being of middle-income level and possessing crowdfunding knowledge positively affected the likelihood that people were willing to use the CWM. The highest probability of the willingness to use the CWM was identified among middle-income males who knew about Waqf and perceived the CWM as useful and easy to use. Research limitations/implications The results of this study and other key findings are expected to be implemented by Waqf institutions in Malaysia to develop policies related to Waqf land in general or to the CWM in particular. The findings are also expected to benefit individuals, organisations and countries, and they could also be adapted and validated in other nations. Originality/value This study focused on developing a better chance of finding people with specific characteristics and factors that lead them to intentionally use the CWM. The probability of willingness to use the CWM based on certain variables has not yet been evaluated. Recognising how higher probabilities can be identified using every factor and characteristic will enable future CWM users to be better mapped, which is expected to increase the effectiveness of developing the CWM.

Optimising under-utilised waqf assets in Malaysia through social entrepreneurship

“…Lack of working capital and equipment shortage and other farming resources due to insufficient funds and limited access to financing sources stifle this vision. To make it worse, according to Meri Indri Hapsari, Thaker, Mohammed, and Duasa (2022), years ago, Malaysian government finance the advancement of waqf. This therefore threatens the sustainability of Waqf development because the government can not come the rescue repeatedly.…”

Behavioral Intention on Islamic Crowdfunding Usage among Malaysian Bumiputera SMEs: Moderating effect of technology readiness

“…The concept of perceived usefulness, highlighted by Gangwar, Date, and Ramaswamy (2015), plays a critical role as users are only inclined to implement a technology if they observe it as beneficial in terms of efficiency, performance, and productivity for their business. Several studies, such as those conducted by Hapsari (2022) and Salim et al (2021), have indicated that performance expectancy/perceived usefulness has an impact on users' intention to use Islamic crowdfunding. This positive relationship can be attributed to the respondents' positive perception of the Islamic crowdfunding model, their knowledge of its underlying concepts and benefits, and their trust in the information provided by the online platform (Hapsari, 2022;Kazaure et al, 2020).…”

“…Several studies, such as those conducted by Hapsari (2022) and Salim et al (2021), have indicated that performance expectancy/perceived usefulness has an impact on users' intention to use Islamic crowdfunding. This positive relationship can be attributed to the respondents' positive perception of the Islamic crowdfunding model, their knowledge of its underlying concepts and benefits, and their trust in the information provided by the online platform (Hapsari, 2022;Kazaure et al, 2020). Additionally, the end users believe that Islamic crowdfunding offers them direct access to investors and helps them avoid the bureaucracy of financial institutions (Salim et al, 2021).…”

“…Rahman et al (2020) also found that entrepreneurs may be hesitant to share their business ideas online, but still agree that crowdfunding is easy to use when seeking capital. According to Hapsari et al (2022) and Salim et al (2021), research findings indicate that users' intention to utilize Islamic crowdfunding platforms can be influenced by their perception of the platforms' ease of use. Hapsari et al (2022) found that young respondents who were familiar with the internet and aware of Islamic crowdfunding found online crowdfunding systems easy to use.…”

“…According to Hapsari et al (2022) and Salim et al (2021), research findings indicate that users' intention to utilize Islamic crowdfunding platforms can be influenced by their perception of the platforms' ease of use. Hapsari et al (2022) found that young respondents who were familiar with the internet and aware of Islamic crowdfunding found online crowdfunding systems easy to use. It has been established that users are willing to use Islamic crowdfunding platforms with user-friendly technology (Kazaure et al, 2020;Salim et al, 2021).…”