DETERMINANTS OF ENTREPRENEURIAL BEHAVIOR AMONG ASNAF ENTREPRENEURS: EVIDENCE FROM INDONESIA

Abstract

This study investigates the determinants of entrepreneurial intention and entrepreneurial behavior among productive zakat recipients (asnaf entrepreneurs) in Indonesia. Drawing upon the Theory of Planned Behavior (TPB), the study examines the influence of attitude, awareness, religiosity, perceived behavioral control, and subjective norms on entrepreneurial intention, which subsequently affects entrepreneurial behavior. A quantitative research approach was employed using Partial Least Squares Structural Equation Modeling (PLS-SEM). Data were collected from 500 asnaf entrepreneurs who received productive zakat assistance from authorized zakat institutions in Indonesia. The findings reveal that attitude, religiosity, perceived behavioral control, and subjective norms positively and significantly influence entrepreneurial intention. In contrast, awareness does not significantly affect entrepreneurial intention. Entrepreneurial intention was also found to positively influence entrepreneurial behavior among productive zakat recipients. Among all determinants, perceived behavioral control emerged as the strongest predictor of entrepreneurial intention. This study contributes to the growing literature on Islamic social finance by extending the Theory of Planned Behavior into the context of productive zakat empowerment. The findings highlight the importance of integrating entrepreneurial training, business mentoring, and spiritual development within productive zakat programs to enhance sustainable economic empowerment among mustahik communities.