Determinants of <i>Takaful</i> adoption by <i>halal</i> food and beverages industry: empirical evidence from Malaysia

Purpose This study aims to recognize the factors that impact the adoption of takaful in the Malaysian food and beverage (F&amp;B) industry. Design/methodology/approach The data for this study were gathered using a survey administered to future users of takaful for the halal F&amp;B industry. The gathered data was analyzed using two software, namely, the Statistical Package for Social Sciences (SPSS) software and AMOS v.28. Moreover, the covariance-based structural equation modeling technique was used in the context of this study. Findings This study found that consumer innovativeness, product image, advertisement and simplicity are instrumental in terms of influencing Malaysians’ intention to adopt takaful schemes for halal businesses, particularly in the halal F&amp;B industry. On the contrary, perceived relative advantage and perceived compatibility did not turn out to be the factors of halal F&amp;B. Research limitations/implications This investigation used a sample size of 200 respondents who participated in the survey, and the geographical scope of the study was restricted to Malaysia. Originality/value This research incorporated novel variables such as consumer innovativeness, product image and advertising to elucidate the takaful adoption among Malaysians within the halal food and beverages industry in Malaysia.