Islam ethics are being overlooked by multinational companies (MNCs) with growing Muslim markets. Islam sees business as an essential pillar of society, and before the noble Prophet Mohammad (PBUH) commencement his mission, he was a very successful businessman with his honesty, reliability, and trustworthiness towards his customers. This clearly advocates that Islamic ethical principles need to be adopted by multinational companies (MNCs) to meet the welfare of Muslim customers. Although profit maximisation is not the ultimate goal of trade in Islam, Islam accepts profits and trade and does not aim to remove all differences in income and wealth that may result in various social and economic classes. The chapter discusses the conceptual implications of companies planning to engage the Muslim customers, employees, and other stakeholders.
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This chapter will examine the organisations operating in Muslim communities need to know fundamental beliefs that drive the behaviour of Muslim customers. Today organisations are embracing multiculturalism as business pragmatism. Awareness about permissibilities can facilitate consumptions on macro level. Religion is getting much importance to attract customers. Internationally both public and private organisations are adapting their procedures, rules and regulations to provide sufficient space to Muslim customers, employees and other stakeholders to contribute towards growth and expansion of economies and societies.
In Arabic the word Souq (sometimes spelt Souk; the plural is Aswaq or Aswak) means the place where selling and sales take place. The name is an exact linguistic description of how goods are brought into the market; sellers would Souq (herd, shepherd, lead or bring) their goods in. However, the word Souq as a concept has been defined during the life of Prophet Mohammad as ‘any place where a sale occurs’; it is tied to the transaction itself not to the place. Thus, in Islam, a market is held wherever and whenever an exchange takes place between buyers and sellers under mutually agreed-on terms and conditions (Alserhan, 2011).
An organisation cannot create an Islamic brand or position itself as Islamic if it promotes its business through un-Islamic means. The use of the word ‘Islamic’ to describe a company’s operations has huge implications, starting from how the product is developed and handled till consumption by the end-user. Islamic is not just a name, it is an entire business philosophy that incorporates every single aspect of the business (Alserhan, 2011).
Islam prohibits fraud and cheating and warns marketers against exaggerating or lying about their products or services. It is forbidden to gain wealth by fraud, deceit, theft or other falsehoods. Marketers involved in fraud are committing a sin. Chapter 83 in the Quran (The Dealers in Fraud) contains the following verses:
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‘Woe to those who deal in fraud.’
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‘Those who, when they have to receive by measure from men, exact full measure.’
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‘But when they have to give by measure or weight to men, give less than due.’
Other clear Islamic teachings in this regard include:
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‘God permits selling but forbids usurious gain’ (Quran 2:275).
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‘O my people! Give full measure and full weight in justice, and wrong not people in respect of their goods’ (Quran 11:85).
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‘Oh ye who believe! Eat not up each other’s property by unfair and dishonest means’ (Quran 4:29).
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‘On the day of judgment, the honest Muslim merchant will stand side by side with the martyrs’ (Prophet Mohammad (PBUH)).
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‘Sell the good and bad separately. He who deceives is not of us’ (Prophet Mohammad (PBUH)).
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‘Swearing produces ready sale but blots out blessing’ (Prophet Mohammad (PBUH)).
According to Alserhan (2011), in general, all Muslim practices and acts are classified under the following categories.