Halal food manufacturing: A case study on successful Bumiputera entrepreneurs in Malaysia
Abstract
This study investigated the success factors that drive the success of Malay halal food manufacturers in Northern Malaysia, with a specific focus on the interplay between religiosity, entrepreneurial mindset, halal supply chain dynamics, and structural challenges. Despite various support and infrastructure development, Bumiputera participation in the halal sector remains disproportionately low. This research employed a qualitative case study approach and explored the experiences of two successful halal-certified food manufacturers from the states of Kedah and Perlis. Drawing from thematic analysis, the findings reveal that religiosity acts as a powerful motivator, shaping opportunity recognition and guiding ethical business conduct. These entrepreneurs demonstrated key traits such as initiative-taking, innovativeness, and resilience in their operational transition from home-based setups to halal and GMP-certified facilities. Nonetheless, they continue to face significant challenges, particularly in sourcing halal-certified raw materials due to rigid supplier requirements and the limited choice of local supply, which strains the halal supply chains. The study applied a three-tiered theoretical framework adapted from Kouakou et al. [1] to map their development process. The findings highlight that success in halal entrepreneurship results from strategic alignment between internal motivators, such as Islamic values and opportunity-driven behavior, and external enablers like government support and global market access. Conclusively, the study recommends improving access to halal certification, reducing raw material bottlenecks, and further empowering Malay SMEs in Malaysia’s growing halal economy.
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