ISLAMIC ENTREPRENEURSHIP: A SYSTEMATIC REVIEW OF FUTURE CHALLENGES AND PROSPECTS OF PAKISTANI SMEs

The main objective of this study is to provide a framework of Islamic entrepreneurship for Pakistani SMEs to address their issues within a knowledge-based economy perspective. The paper reviews contemporary literature and the Holy Quran verses, the Prophet Muhammad's (sal-Allahu 'alayhi wa sallam) Hadith (sayings) and Sunnah (practice) on Islamic entrepreneurship, for establishing a business model for entrepreneurs. On the basis of extensive literature reviews and evidence, the study proposed a business model of Islamic entrepreneurship which is mainly based on two dimensions namely business perspective and spiritual perspective. The paper is conceptual in nature. There is a need for developing a measurement scale to measure the business model of Islamic entrepreneurship. Islamic entrepreneurship is considered as the most crucial topic in business solutions because of the very complex and dynamic business environment. In the present business environment, the role of religion and culture is very important for the success of SMEs. The proposed business model of Islamic entrepreneurship will help Pakistani SMEs to understand the halal and haram concept in more depth. Moreover, they would be able to capitalize the Islamic rules and principles in their business. The novelty of this study lies in expanding the existing research on the link between Islamic entrepreneurship and the future challenges and prospects of Pakistani SMEs. The proposed business model of Islamic entrepreneurship is unique and it will guide development of the scale to measure Islamic entrepreneurship in organizations. This is arguably a first study contributing to Islamic entrepreneurship literature in the Pakistani context.