Abstract:
Purpose
Main purpose of this study is to find out that which factors possess a strong support in
selecting an Islamic bank. This study highly focuses on the individuals in Karachi, Pakistan.
A country with developed Islamic finance system and culture different in respect to other
Muslim countries.
Methodology/sample
The study involved use of questionnaires filled by 304 Islamic Bank clients. The respondent
individuals belonged to different age groups, social classes and areas of residence. To
analyze the data, Regression, ANOVA and Coeeficient tests were applied. Data from four
different Islamic bank (Meezan bank, Dubai Islamic bank, Bank Islami and A1 baraka Bank)
and the data was collected from the city Karachi.
Findings
The analysis results clearly suggested that individuals in Pakistan specifically in Karachi are
preferring Islamic banking over conventional banking. Clients are also considering several
patronage factors like trust, Islamic law and customer service for choosing an Islamic bank.
Practical Implications
The outcomes of the research might help the Islamic banks to identify how the customer in
Pakistan select an institution for financial services. This may help in making decisions for
creating more value to the customers and strategies to attain more market share. It can also
help in development of Islamic banks in Pakistan
