The alluring Halal market which presents the large business opportunities has been more recognized recently along with the prediction of increasing Muslim population for the next decades. As many Muslims demand Halal principles to be incorporated more in their daily lives, Halal industry is expanding beyond food towards non-food and service sectors with the undeniable potential market size. Regardless the knowledge level about Muslim, both countries with majority and minority Muslims are competing to engage with Halal industries, including Taiwan. To have better understanding about Halal business, the Halal research have been developing since the last 10 years. In addressing the market demands of Halal, the entrepreneur’s perspective becomes important due to their main role as the only stakeholder to provide the Halal product and service for the market, yet this perspective has not been taken largely into consideration to be examined more.
This study using Taiwan as the research background will probe the factors from entrepreneurs to engage with Halal business while contributing to view Halal in competitive advantage landscape as well. A conceptual model is developed consisting of five latent variables, i.e. Doing Halal Business (DHB), Halal Perceived Usefulness (HPU), New Product Development (NPD), Internal Driver (ID) and External driver (ED) to explain the Halal business for firms in Taiwan. This study was conducted by spreading the questionnaire survey to firms in Taiwan using PLS-SEM for data analysis. As for the results, 41 responds were obtained from the firms in Halal product and service sectors. The findings showed that DHB was positively influenced by HPU and NPD; ID and ED positively affected HPU; and NPD was influenced by ID. Based on these findings, this study empirically proves that Halal business can relate with the firm’s competitive advantage landscape through the New Product Development strategy. These study results then bring some practical recommendations for Taiwan to achieve Halal ecosystem, such as the importance of perceived usefulness from Halal, the role of New Product Development strategy in performing Halal business, and the leverage of resources and capabilities from the firm which leads to conduct Halal business.

The alluring Halal market which presents the large business opportunities has been more recognized recently along with the prediction of increasing Muslim population for the next decades. As many Muslims demand Halal principles to be incorporated more in their daily lives, Halal industry is expanding beyond food towards non-food and service sectors with the undeniable potential market size. Regardless the knowledge level about Muslim, both countries with majority and minority Muslims are competing to engage with Halal industries, including Taiwan. To have better understanding about Halal business, the Halal research have been developing since the last 10 years. In addressing the market demands of Halal, the entrepreneur’s perspective becomes important due to their main role as the only stakeholder to provide the Halal product and service for the market, yet this perspective has not been taken largely into consideration to be examined more.
This study using Taiwan as the research background will probe the factors from entrepreneurs to engage with Halal business while contributing to view Halal in competitive advantage landscape as well. A conceptual model is developed consisting of five latent variables, i.e. Doing Halal Business (DHB), Halal Perceived Usefulness (HPU), New Product Development (NPD), Internal Driver (ID) and External driver (ED) to explain the Halal business for firms in Taiwan. This study was conducted by spreading the questionnaire survey to firms in Taiwan using PLS-SEM for data analysis. As for the results, 41 responds were obtained from the firms in Halal product and service sectors. The findings showed that DHB was positively influenced by HPU and NPD; ID and ED positively affected HPU; and NPD was influenced by ID. Based on these findings, this study empirically proves that Halal business can relate with the firm’s competitive advantage landscape through the New Product Development strategy. These study results then bring some practical recommendations for Taiwan to achieve Halal ecosystem, such as the importance of perceived usefulness from Halal, the role of New Product Development strategy in performing Halal business, and the leverage of resources and capabilities from the firm which leads to conduct Halal business.

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