INSTITUTIONAL ASSURANCE AND ETHICAL ASSURANCE IN BUILDING CONSUMER TRUST AND BUYING INTEREST IN HALAL PRODUCTS

Abstract

The development of the halal industry positions halal labeling not merely as a marker of religious compliance, but also as an instrument that establishes consumer certainty and trust. At the same time, Islamic business ethics—through the principles of honesty, trustworthiness, justice, and responsibility—plays a crucial role in shaping the quality of relationships between business actors and consumers. This study aims to analyze the construction of halal labels as institutional assurance, Islamic business ethics as ethical assurance, and the interconnection between both in shaping consumer trust and purchase intention toward halal products. The research employs a qualitative approach based on a literature review within an interpretive paradigm. Data were collected from regulations, official documents, scholarly articles, academic books, and previous studies, and analyzed using qualitative content analysis and thematic synthesis. The findings indicate that halal labeling functions as an institutional guarantee providing formal certainty regarding a product’s halal status, while Islamic business ethics serves as an ethical guarantee that builds trust through integrity in business practices. Both mechanisms are complementary and converge in the formation of consumer trust, which subsequently influences purchase intention. The study develops a conceptual framework of institutional assurance–ethical assurance–consumer trust–purchase intention. The implication suggests that strengthening the halal product ecosystem, including in the context of Pamekasan Regency, should not rely solely on halal certification but must also involve the internalization of Islamic business ethics in business practices.