The Factors Influencing Implementation of Halal Foods and Beverages Certification among Bumiputera Micro Small and Medium Entrepreneurs from the Perspective of Resource-Based View Theory: A Conceptual Paper

Abstract

The low involvement of Bumiputera small and medium-sized enterprises (SMEs) in implementing halal certification in Malaysia remains a persistent concern despite the rapid growth of the global halal industry. Addressing this issue requires a clearer, theory-driven understanding of the organisational factors that influence Bumiputera SMEs’ engagement with halal certification. Accordingly, this conceptual paper examines the determinants of halal food and beverage certification implementation among Bumiputera SMEs by adopting the Resource-Based View (RBV) as its underlying theoretical lens. Drawing on extant literature, the study conceptualises Total Quality Management (TQM) practices, internal motives, and external pressures as strategic organisational resources that shape firms’ readiness and capability to implement halal certification. From an RBV perspective, these resources are viewed as valuable, rare, and difficult-to-imitate capabilities that enable SMEs to achieve effective halal compliance and sustain competitive advantage within the halal market. A conceptual framework is developed to illustrate the proposed relationships between these internal and external resources and halal certification implementation. The paper further posits that the effective deployment of TQM practices reflects successful halal certification adoption among Bumiputera SMEs. This study contributes to the halal SME literature by offering a structured RBV-based conceptual framework and provides theoretical direction for future empirical research and policy initiatives aimed at strengthening Bumiputera participation in Malaysia’s halal industry.