A Study on Micro-Industry Women Entrepreneurs in the Obtainment of Halal Certification: Challenges and Success Factors

Abstract

Micro-Industry Women Entrepreneurs (MIWE) are essential in local economic development. Despite the growing halal industry worldwide, micro-industry participation in halal certification remains relatively low, especially in Perlis. This study intends to explore the challenges and success factors MIWE faces in obtaining halal certification in Perlis, particularly in the food sector. It examined the challenges hindering women entrepreneurs from adopting halal certification for their food products and the factors contributing to their success in this process and implementation. The study employed a qualitative research method for data collection. Semi-structured interviews were conducted with fifteen (15) informants involving seven (7) MIWE in the food manufacturing sector, one (1) halal auditor, four (4) agency officers and three (3) halal executives. An inductive-deductive analysis revealed that the industry struggled with a lack of employees to manage halal certification, small market access, insufficient IT skills in handling the MYeHALAL system and a lack of concerns about halal certification among entrepreneurs. The success factors enabling the entrepreneurs to obtain and maintain halal certification included a strong understanding of halal concepts and requirements, commitment and motivation of MIWE in implementation, and initiatives and support from government authorities and staff. This study is crucial as it contributes to a deeper understanding of the critical factors for the sustainability of halal certification among MIWE.