International Journal of Information System and Innovation Management
Vol. 2 No. 1 (2024): International Journal of Information System and Innovation Management

The Innovation of Market Structure and Sharia Governance Model of Islamic Financial Institutions

Brillyandra, Fradini (Unknown)
Fadhil, Muflihul (Unknown)
Mukhlis, Mukhlis (Unknown)
Suryadi, Nanda (Unknown)
Purwati, Astri Ayu (Unknown)



Article Info

Publish Date
10 Jul 2024

Abstract

Market structure significantly affects price manipulation and economic efficiency. From an Islamic perspective, market structures should allow freedom but remain bound by rules that uphold responsibility and justice. Among the four primary market forms—perfect competition, monopoly, oligopoly, and monopolistic competition—the perfect competition market is deemed most ideal as it fosters balanced and efficient economic activity, aligning with Islamic principles of fairness. Sharia governance is crucial for ensuring that Islamic financial institutions (IFIs) adhere to Islamic laws, avoiding prohibited practices like riba and maintaining the halal nature of profits. This research, using descriptive analysis, examines the market structure in Islam and the Sharia governance model of Islamic Financial Institutions (LKS) within Indonesia's legal framework. The study, through literature reviews and legal document analysis, finds that Indonesian regulations comprehensively address Sharia governance, outlining aspects such as regulation, organizational structure, processes, and functions, thereby ensuring adherence to Sharia principles and promoting ethical financial practices.

Copyrights © 2024






Journal Info

Abbrev

ijisim

Publisher

Subject

Decision Sciences, Operations Research & Management

Description

International Journal of Information System and Innovation Management (IJISIM) is a scientific journal focuses on Information System, Innovation and Management Sciences. IJISIM is published under Yayasan Pendidikan Islam Al-Matani. IJISIM aims to publish original articles, whether in the form of ...