Electronic Resource
Determinants Of Exporter's Intention In Using sharia Letter Of Credit Products
Objective: This study aims to determine the factors that influence the intention of
exporters to use a Sharia Letter of Credit. This study uses four variables, namely
Islamic financial literacy, sharia-compliant perception, technology factors, and
financing facilities.
Method: Partial Least Square Structural equation modeling (SEM) approach was
used to test the measurement model (outer model) and structural model (inner
model). The purpose of the two stages of evaluation of the measurement model is
to assess the validity and reliability of a mode. Online questionnaires were
distributed to purposively selected respondents throughout Indonesia. The
respondents are 80 decision-makers in export companies and people who have
export-worthy products in Indonesia.
Results/Findings: This study found that the variables of Islamic financial literacy,
technology factors, and financing facilities as independent variables significantly
influence the intention to use a sharia letter of credit. Meanwhile, the variable of
sharia-compliant perception was not proven to have a significant effect.
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