Islamic business ethics, artificial intelligence use, and consumer trust in Indonesian digital business platforms among Generation Z

Nasution, Inayatul Widad
Nasution, Muhammad Irwan Padli
Siregar, Muhammad Habibi

Journal of Islamic Economics Lariba
Vol. 12 No. 2 (2026)

IntroductionThe rapid adoption of artificial intelligence in digital business platforms has transformed consumer interaction through personalization, automation, and data-driven decision-making. However, these technological advances also raise ethical concerns related to transparency, fairness, accountability, privacy protection, and responsible data governance. In Islamic digital business, these concerns are particularly important because technology use must be aligned with the principles of Islamic business ethics, including justice, honesty, trustworthiness, and protection of consumer rights.ObjectivesThis study examines the influence of perceived Islamic business ethics in the application of artificial intelligence on consumer trust in digital business platforms. It also analyzes whether artificial intelligence use mediates the relationship between perceived Islamic business ethics and consumer trust.MethodThis study used a quantitative explanatory design with a cross-sectional survey approach. The respondents were Generation Z consumers who had used digital business platforms and interacted with artificial intelligence-based services. The research variables consisted of perceived Islamic business ethics, artificial intelligence use, and consumer trust. Data were collected using a structured questionnaire with a five-point Likert scale. The data were analyzed using Partial Least Squares Structural Equation Modeling to evaluate the measurement model, structural model, direct effects, and mediating relationship.ResultsThe findings show that perceived Islamic business ethics has a positive and significant effect on consumer trust and artificial intelligence use. Artificial intelligence use also has a positive and significant effect on consumer trust, although its contribution is smaller than that of perceived Islamic business ethics. The model explains a high proportion of variance in consumer trust and artificial intelligence use. The mediation analysis indicates that artificial intelligence use partially mediates the relationship between perceived Islamic business ethics and consumer trust.ImplicationsThe study demonstrates that consumer trust in digital business is shaped more strongly by ethical legitimacy than by technological sophistication alone. Digital firms should integrate Islamic ethical principles into artificial intelligence governance, data protection, algorithmic transparency, and consumer protection mechanisms.Originality/NoveltyThis study contributes by integrating Islamic business ethics, artificial intelligence use, and consumer trust into a single empirical framework, with particular attention to Generation Z consumers in Islamic digital business.