Evaluating Sukuk Investment Intentions from A Social Cognitive Perspective: The case of Pakistan

Abstract

This research study was conducted to understand the influence of compatibility, internal influence, external influence, extrinsic motivation, and intrinsic motivation in the determination of intention to invest in Sukuk with the moderating role of religious aspect in the case of Pakistan. This research study is based on a quantitative approach with the collection of primary responses as data set for the current research. Using the quantitative approach, the study selected the explanatory process to understand the impact of compatibility, internal influence, external influence, extrinsic motivation, and intrinsic motivation in the determination of intention to invest in Sukuk for Pakistan with the moderating role of the religious factor. The population targeted under the current investigation belongs to the Islamic banking profession having job experience with Islamic banks in Pakistan. The study was selected with a convenience sampling technique and estimated with a sample size of 300 for response collection at a 95 percent Confidence interval. This study adopted a survey method to collect the required number of responses and used a questionnaire as a data collection instrument. Structural equation modeling using smart PLS was selected as a statistical technique for investigation purposes. Results revealed that compatibility, internal influence, external influence, and extrinsic motivation are essential variables in the determination of intention to invest in Sukuk. The study's originality stems from the fact that Sukuk is a relatively new area of research in Pakistan and has yet to be extensively studied through the social cognitive perspective earlier.