Islamic Marketing Ethics and Its Impact on Customer Satisfaction in the Islamic Banking Industry (Abul Hassan, Abdelkader

Cachi, Salma Abdul Latiff)

First of all, the implementation of the Islamic Shariah principles provide the incentive for Islamic bankers to search for different products or services to offer as the idea of Islamic banking is relatively new. Actually, the Islamic marketing principles combine a value-maximization concept with the principle of justice. The Islamic ethical guidelines ensure respect for, and the individual freedom of, both bankers and customers. Indeed, adopting the Islamic marketing ethics ensures that the society is provided thereby enhancing the dignity of, and upholding the rights of human beings. There are three characteristics of market ethics from the Islamic perspectives. First of all, Islamic ethics are based on Quranic commandments and leave no room for ambiguous interpretation by marketing executives to suit their individual whims and desires. Secondly, the main difference is their beyond aspect of absoluteness and non-malleable nature. The lastly is this principle emphasizes valuemaximization in view of the greater good of the society rather that the selfish pursuit of profit maximization. In addition, there are two principles governing commercial activity from an Islamic perspective. Firstly, submission to the moral order of God and secondly is empathy and mercy to Gods creation which implies refraining from doing harm to others. The five Ps of the marketing-mix from the Islamic perspective are product, price, promotion, place and people. For product, firstly, the product must be lawful and not to cause dullness of mind in any form. Secondly, the product must be asset backed. Thirdly, the product must be deliverable since the sale of a product is not valid if it cannot be delivered. Fourthly, there is a need of identification of extra cost added features that might materially change the product or impact on the buyers purchase decision. Fifthly, all parties intend to discharge their obligations, financial an otherwise. Meanwhile, for price, Islam prohibits getting something too easily without hard labour, or receiving a profit without working for it. Then, it is not allowed to change a price without altering the quality or quantity of the product and Islam also prohibits false propaganda or publicity on the part of marketers. In promotion, the rules are avoidance of false and misleading advertising, rejection of high pressure manipulations, or misleading sales tactics and lastly, avoidance of sales promotions that use deception or manipulation. In other word, for place or distributing channel, the principles are not manipulating the availability of a product for purpose of exploitation, not using coercion in the marketing channel and not exerting undue influence over the re-sellers choice to handle a product. Lastly, according to Islamic principles, sexual appeal, emotional appeal, fear appeal, subliminal advertising and pseudo-scientific claims all have elements of coercion which cause them to be categorized as unethical as a means of marketing.