Indian Journal of Science and Technology
Year: 2018, Volume: 11, Issue: 8, Pages: 1-8
Md. Rabiul Islam1 , Syed Zabid Hossain2 , Rashidah Abdul Rahman3
1Department of Humanities, Rajshahi University of Engineering and Technology, Rajshahi–6204, Bangladesh; [email protected]
2Department of Accounting and Information Systems, University of Rajshahi Rajshahi-6205, Bangladesh; [email protected]
3Department of Economics, King Abdulaziz University, Jeddah, Makkah Province, Saudi Arabia; [email protected]
*Author for correspondence
Md. Rabiul Islam,
Department of Humanities, Rajshahi University of Engineering and Technology, Rajshahi–6204, Bangladesh; [email protected]
Objectives: The paper strives to generate deep insights into the shared value practices of Islami Bank Bangladesh Limited (IBBL). The specific objectives are to examine the extent to which IBBL is creating shared value through its innovative products and to comprehend the motives for such value creation. Methods/Statistical Analysis: The study is founded on case study research design. The case study has used published financial information as well as interviews with practicing managers and customers of IBBL to triangulate data and validate the results. Findings: The study reveals that IBBL, to some extent, has been creating shared value in all the three areas of Porter and Kramer’s shared value concept but mostly in the areas of re conceiving products and markets and redefining value chain to improve productivity. Although shared value is practicing at IBBL, its managers hardly acquainted with Porter and Kramer’s shared value model. The study also demonstrates that the main motivating factor behind pursuing shared value at IBBL is to reach market resources in the form of goodwill and brand image. Bank customers also appreciated the shared value effort as they are truly benefiting from the shared value practices of IBBL. Application/Improvements: The way IBBL is performing its banking business (taking social problems as business opportunities to create shared value) will be a role model for other banks both in developed and developing countries.
Keywords: Banking on Shared Value, Creating Shared Value, Islamic Banking Shared Value, Shared Value Practices, Sharia’h-Based Banking
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