Islamic Business in Malaysia: Scenario and Challenges

The Islamic business in Malaysia can be divided into several types, such as large, medium, small, and micro businesses. The majority of Islamic businesses are micro, small, and medium companies. The challenges Muslim entrepreneurs face are categorized into internal and external. The challenges are identified as financial, corruption, interpersonal relationship conflict, emotional challenges, lack of current knowledge, incompetence, risk-taking, changes, competition, less competitive and survivable, crisis, lack of demand, family challenges, customer loyalty, business sustainability, business expansion, entrepreneur attitudes, business blessings, product diversity, partners, requirements vs customer needs, target market, market segment, market placement, and human resource challenges and pricing. To be successful, among necessities are entrepreneurs need to have backup plans such as falling back onto angel capital or venture capital, good planning, basic knowledge in financial management, good interpersonal and time management skills, resilient, persistent, and committed, safeguard the reputation and integrity of the company and update knowledge through training.