Due to the globalization process and the fast development of technology is relevant to explore in a deeply way the e-commerce process and the impact it has in different cultures around the world, in order to have successful businesses experiences. The purpose is to explore the perspectives that have Muslims countries in e-commerce transactions; as they have a strong relation of every aspect in their lives with their religion which is the Islam.
First of all is important to know the definition of e-commerce that ” is the process of buying and selling goods and services electronically with computerized business transactions using the Internet, networks and other digital technologies” . Based on this definition is relevant to highlight that the process of buying and selling generates a contract, that has some changes in regulation terms, depending on the cultures involved.
Due to the fact that Islam is the core of the Muslim life, the Quran which is its holly book is the one that sets the parameters in the society, including business ones, it “regarded business as lawful, good and beneficial for both the individual and the society”, so e-commerce as part of a business activity is accepted. Also the Syariah (Islamic Law) ratified it use saying that is a new way of technology that facilitates economic transactions and also says that the “contract in E-Commerce is legitimate because all the four pillars of Islamic contract are fulfilled”; however for its validity it must fulfill some requirements.
The purpose is to highlight the basic aspects that someone who is willing to do this process with a Muslim person required.
• For the validity of a transaction, in the Quran exists to prerequisites: must be permissible by the Syariah and must not be harmful for the parties that are doing the contract or for the people in general.
• In order to have specific guidelines to achieve the transaction, the Syariah has five stages to reach the validity of it:
1. Initiating a contract (Al-Ta’aqut): offer and acceptance, two contracting parties, subject matter, and mode of expression.
2. Confirming the validity (Sihha): the contract must be free of: interest (Riba), because the Quran says: ‘‘O you who believe! Devour not usury, doubled and multiplied; but fear Allah; that you may (really) prosper’’ (3:130), uncertainty (Gharar), deceit, duress and/or gambling.
3. Implementation (Nafath): the offer is the real owner of the product sold and it is free for any liabilities.
4. Binding (Ilzham): before signing the buyer must verify the company and the product sold. After signing keep the contract copy.
5. Delivery (state of exchange). Muslims must avoid using credit cards because are against “Riba”, so they will use the “MURABAHAH SYTEM”
As you can see the first four stages are very similar to the procedures that are follow for many countries around the world, for contracts. What is interesting to highlight is the fifth one, where the use of credit cards must be avoid; e-commerce is an example of the globalization the world is living, so is necessary to have similarities in some processes in order to have easier results, the credit card is one example of it; but at the same time is very important for a business person to understand that cultures influenced the way of doing business and more in countries such as the Muslim ones where the religion is extremely important, and they will not adapt easier to international usual processes.
http://webcache.googleusercontent.com/search?q=cache:Evk0-NEhFUsJ:en.wikipedia.org/wiki/Electronic_commerce+is+the+process+of+buying+and+selling+goods+and+services+electronically+with+computerized+business+transactions+using+the+Internet,+networks+and+other+digital+technologies&cd=1&hl=es&ct=clnk&gl=coç
NORAZLINA Zainul, Fauziah Osman, Siti Hartini Mazlan. E-Commerce from an Islamic perspective. 2004
First of all is important to know the definition of e-commerce that ” is the process of buying and selling goods and services electronically with computerized business transactions using the Internet, networks and other digital technologies” . Based on this definition is relevant to highlight that the process of buying and selling generates a contract, that has some changes in regulation terms, depending on the cultures involved.
Due to the fact that Islam is the core of the Muslim life, the Quran which is its holly book is the one that sets the parameters in the society, including business ones, it “regarded business as lawful, good and beneficial for both the individual and the society”, so e-commerce as part of a business activity is accepted. Also the Syariah (Islamic Law) ratified it use saying that is a new way of technology that facilitates economic transactions and also says that the “contract in E-Commerce is legitimate because all the four pillars of Islamic contract are fulfilled”; however for its validity it must fulfill some requirements.
The purpose is to highlight the basic aspects that someone who is willing to do this process with a Muslim person required.
• For the validity of a transaction, in the Quran exists to prerequisites: must be permissible by the Syariah and must not be harmful for the parties that are doing the contract or for the people in general.
• In order to have specific guidelines to achieve the transaction, the Syariah has five stages to reach the validity of it:
1. Initiating a contract (Al-Ta’aqut): offer and acceptance, two contracting parties, subject matter, and mode of expression.
2. Confirming the validity (Sihha): the contract must be free of: interest (Riba), because the Quran says: ‘‘O you who believe! Devour not usury, doubled and multiplied; but fear Allah; that you may (really) prosper’’ (3:130), uncertainty (Gharar), deceit, duress and/or gambling.
3. Implementation (Nafath): the offer is the real owner of the product sold and it is free for any liabilities.
4. Binding (Ilzham): before signing the buyer must verify the company and the product sold. After signing keep the contract copy.
5. Delivery (state of exchange). Muslims must avoid using credit cards because are against “Riba”, so they will use the “MURABAHAH SYTEM”
As you can see the first four stages are very similar to the procedures that are follow for many countries around the world, for contracts. What is interesting to highlight is the fifth one, where the use of credit cards must be avoid; e-commerce is an example of the globalization the world is living, so is necessary to have similarities in some processes in order to have easier results, the credit card is one example of it; but at the same time is very important for a business person to understand that cultures influenced the way of doing business and more in countries such as the Muslim ones where the religion is extremely important, and they will not adapt easier to international usual processes.
http://webcache.googleusercontent.com/search?q=cache:Evk0-NEhFUsJ:en.wikipedia.org/wiki/Electronic_commerce+is+the+process+of+buying+and+selling+goods+and+services+electronically+with+computerized+business+transactions+using+the+Internet,+networks+and+other+digital+technologies&cd=1&hl=es&ct=clnk&gl=coç
NORAZLINA Zainul, Fauziah Osman, Siti Hartini Mazlan. E-Commerce from an Islamic perspective. 2004
Hi Paulaa!!!
ResponderEliminarI like your blog, and the way you explain each topic.
I found this topic really interesting and also I could realize how religions influence the life of thousands of people in the whole world.
You explain here really well how E-commerce is adapted to Muslim culture
Regards