Journal of Management Information and Decision Sciences (Print ISSN: 1524-7252; Online ISSN: 1532-5806)

Research Article: 2023 Vol: 26 Issue: 4

Analysis of The Application of Islamic Business Ethics Principles in Daddy bro Coffeshop Tulis Batang Regency

Ghina Jazila, UIN K.H. Abdurrahman Wahid Pekalongan

Citation Information: Jazila, G. (2023). Analysis of the application of islamic business ethics principles in daddy bro coffeshop tulis batang regency. Journal of Management Information and Decision Sciences, 26 (S4), 1-5.

Abstract

Islamic business ethics is moral in doing business in accordance with Islamic principles, so that in doing business there is no need to worry, because it is believed to be something right and good. The application of Islamic business ethics is also necessary in all areas of economics, including the implementation of production, consumption and distribution. This is done by several economic actors by applying Islamic business ethics in their operations. This study uses qualitative research with descriptive methods. Primary data sources by conducting interviews and observations. The object of research at Daddy Bro Coffeshop located on Jl. Raya Tulis, Gondangan Village, Tulis District, Batang Regency, Central Java. The study aims to determine the implementation of the application of Islamic business ethics principles in Daddy Bro Coffeshop. The results showed that the application of Islamic business ethics principles which include tawhid (unity), balance (equilibrium), free will (free will), and responsibility (responsibility) has been applied by Daddy Bro Coffeshop and is considered quite good in the application of its business

Keywords

Application of Principles, Islamic Business Ethics, Business, Economics.

Introduction

Islam regulates all human activities including muamalah by providing restrictions on what can be done (Halal) and what is not allowed (Haram). In Islamic business, the business carried out must be based on shari'ah or Islamic law. Economic activities and other life-oriented activities in the world and in the Hereafter are forms of worship to Allah SWT. All actions and everything done on earth is a manifestation of worship to Allah SWT (Syihabuddin, 2017).

In the context of business, ethics are very important to pay attention to, because without ethics, fraud will occur that harms business partners and can be an obstacle to the continuity of business activities. In business there is often an element of deception, and deception is an attitude that violates ethics, and rationally deception is a viceway that can cause people to disbelieve. Therefore, ethics in doing business is very important to understand and apply in business practices (Djakfar, 2012).

Business activity is an integral part of economic discourse. The Islamic economic system departs from an awareness of ethics, while other economic systems, such as capitalism and socialism, tend to ignore ethics so that the value aspect is not so visible in the building of the two economic systems (Machmuda, 2016).

Muatasim and Katarina explain that ethics in Islam assesses the measure of whether or not something is absolutely good, this is related to the legal, rational basis contained in the Qur'an. Islamic business ethics is defined not only in the form of concepts and procedures, but also included in obligations, which means that a person who is Muslim and is running a business, is obliged for him to carry out business practices that do not contradict Islamic sharia. On the other hand, Hassan explained universally, that ethics is a bridge in shaping economic achievements and is based on economic values, but in Islam business ethics has one additional concept, namely khuluq which means goodness, balance or justice (Salahudin et al., 2019).

In terms of correct, good, ethical and honest business practices, it can contribute to the realization of justice in society. Conversely, strengthening justice can cause social shocks that are very concerning for entrepreneurs if everyone can do business in accordance with Islamic business ethics, it will not cause gaps between business people and can also create welfare for society and business people (Ismaeel &Blaim, 2012).

The application of Islamic business ethics is also necessary in all areas of economics, including the implementation of production, consumption and distribution. This is done by several economic actors by applying Islamic business ethics in their operations.

Literature Review

Islamic Business Ethics

Etymologically, ethics derived from Greek ethikos according to Adian (2002) has various meanings: first, as an analysis of concepts of what should, must, duty, moral rules, right, wrong, obligatory, responsibility and others (Djakfar, 2012). Second, application into the character of morality or moral actions. Third, the actualization of a morally good life. According to Robert C. Solomon, morals are not defined as rules and obedience, but rather refer to the form of character or individual traits such as virtue, compassion, generosity and so on, all of which are not contained in law.

In the treasures of Islamic thought, ethics is understood as morals or civilization that aims to educate human morality. Ethics is contained in the vast material content of Qur'anic verses, and developed in the influence of Greek philosophy to the Sufis. Ahmad Amin gave a limitation, that ethics or morals is a science that explains the meaning of good and bad, explains what humans should do to others, states the goals that should be aimed at by humans in their actions and shows the way to do what should be done (Juliyani, 2016).

Islamic business ethics is moral in doing business in accordance with Islamic principles, so that in doing business there is no need to worry, because it is believed to be something right and good (Beauchamp et al., 2004). If ethical values are carried out, it will perfect the essence of the whole person. Everyone can have a set of understandings about values, but there are only two understandings that lead to the personality of Muslims, namely the Qur'an and Hadith which are sources of guidance in every principle of life, including in terms of doing business (Juliyani, 2016).

Principles of Islamic Business Ethics

Broadly speaking, Djakfar (2012) groups aspects of Islamic business ethics principles consisting of tawhid (unity), balance (equilibrium), free will (free will), and responsibility (responsibility).

Research Methodology

The type of research used is qualitative research with descriptive methods. The data source is primary by conducting interviews and observations, and the data is secondary by reading existing literature. Data collection techniques by observation, interviews and documentation. In this study, the author took the location of the research as a research object located on Jl. Raya Tulis, Gondangan Village, Tulis District, Batang Regency, Central Java, Next to Indomaret Tulis. Researchers took objects at Daddy Bro Coffeshop, data collection techniques carried out through direct observation techniques (observation) and in-depth interviews with Daddy Bro Coffeshop managers (Pattiasina et al., 2018).

Discussion of Findings

Islamic Business Ethics

Business is a manifestation of the application of a set of normative ethical principles to business conduct. In this case, business ethics acts as a guideline in determining whether or not an action taken by the company in running its business. If in everyday life dishonesty shows unethical behavior, then companies that cover up the mistakes they have made, or cover up their products or services so that they have the potential to harm consumers can be called an unethical company (Rivai et al., 2012).

Islamic business ethics is moral in doing business in accordance with Islamic principles, so that in doing business there is no need to worry, because it is believed to be something right and good. If ethical values are carried out, it will perfect the essence of the whole person. Everyone can have a set of understandings about values, but there are only two understandings that lead to the personality of Muslims, namely the Qur'an and Hadith which are sources of guidance in every principle of life, including in terms of doing business.

The basic ethical principles used at Daddy Bro Coffeshop are in accordance with the company's goal of "Growing Together for the Betterment of the Daddy Bro Group". Although Daddy Bro Coffeshop does not have a written vision and mission, Daddy Bro Coffeshop has a commitment to create a place to eat, hang out, gather with family comfortably and safely supported by good and quality facilities and food that is not only delicious and healthy but also suitable for the taste of the tongue of the community (Sampurno, 2016).

To acquire consumers, Daddy Bro Coffeshop uses marketing by relying on word of mouth of consumers so that the role of consumers is very meaningful in the development of coffeshop. Daddy Bro Coffeshop also promotes its products through social media despite being less active and routine. Information about new promos or menus, Daddy Bro Coffeshop uses a broascat system to social media and to whatsapp customers.

The target market of Daddy Bro Coffeshop consumers is in all circles, both young people, teenagers and parents. Daddy Bro Coffeshop provides various business support facilities such as the availability of reservations, meetings, organizations and family time.

In economic activities carried out at Daddy Bro Coffeshop, employees must follow and carry out SOPs (Standard Operating Procedures) that have been made such as honesty and trustworthiness. Honesty and trustworthiness are very important to be applied in other business people because honesty and trustworthiness as initial capital build business trust in customers (Linge et al., 2017).

Analysis of the Application of Islamic Business Ethics Principles at Daddy Bro Coffeshop

Broadly speaking groups aspects of Islamic business ethics principles consisting of tawhid (unity), balance (equilibrium), free will (free will), and responsibility (responsibility). The application of these aspects to business activities is as follows:

Tawhid (unity): As explained by Afrizal that the aspect of tawhid provides two awareness for business people. The first awareness is tawhid provides awareness for business people that all forms of resources on earth only belong to Allah SWT absolutely. The second realization is that the motivation for the creation of man into this world is to realize Allah Almighty (who created the universe and its contents) by worshiping Him. The Qur'an explains this as follows: "We will show them our signs (power) in all regions of the earth and on themselves, until it is clear that the Qur'an is true. Is it not enough that verily your Lord be a witness of all things?" (QS. Al-Fushshilat verse 53)In this principle, Daddy Bro Coffeshop has applied the principle of tawhid because in this principle everything in this world belongs only to Allah.SWT so that as his people we must always adhere to the teachings of goodness and not act fraudulently or lies in running a business. Deddy Bro Coffeshop in running its business is always honest and trustworthy to its customers.

 Equilibrium Islam strongly encourages doing justice in business, and forbids cheating or tyranny. The Messenger of Allah was sent by Allah to establish justice. A big accident for people who cheat, namely people who when receiving doses from others ask to be fulfilled, while if measuring or weighing for people is always reduced. Fraud in business is a sign of the destruction of the business, because the key to business success is trust. The Qur'an instructs Muslims to weigh and measure in the right way and not to commit fraud in the form of reduction of measures and scales. In Surah Al Isra verse 35 Allah Almighty says which means: "And perfect themeasure when you measure, and weigh it with the correct balance. That's the main thing (for you) and the better the result". In activities in the world of work and business, Islam requires to do justice, including those who are not liked. This is in accordance with the word of Allah SWT in Surah Al-Maidah verse 8 which means: "O believers, let you be those who always uphold (the truth) because of Allah SWT, bear witness justly. And let not your hatred of a people compels you to be unjust. Be fair because fair is closer to piety". In this principle, Daddy Bro Coffeshop has applied this principle by acting fairly and not discriminating consumers in terms of treatment, price, promotion and other transactions in a fair and accountable manner. Because in activities in the world of work and business, Islam requires to do justice, including those who are not liked

 Free Will: The aspect of business will is not a guideline that directs all business people to choose any decision and carry out all forms of business practices by justifying all means, but this aspect of free will must be interpreted as the freedom to choose decisions in business and use ways of doing business that provide profit while not contradicting the teachings of Islam. On this principle, Daddy Bro Coffeshop has applied this principle well. Although at Daddy Bro Coffeshop there is no price bargaining system on the coffee and food menu. If there is an error or defect in the order, Daddy Bro Coffeshop is very willing to replace. In promoting its products, daddy Bro Coffeshop never forces consumers to buy their products.

Responsibility: The aspect of responsibility in doing business seeks to give business people awareness to utilize existing resources but not in a continuous way, but this aspect of responsibility is based on understanding the consequences of the business strategies applied and trying to accept and evaluate the consequences of the chosen business strategies. God's word on this subject can be seen in the following verse: "And no one sins but his mudharat returns to himself, and a sinner will not bear the sins of others" (QS. Al-An'am verse 164).

In this principle, Daddy Bro Coffeshop has applied this principle because Daddy Bro Coffeshop guarantees the quality and quantity of service to create customer comfort. This principle of responsibility, Daddy Bro Coffeshop creates it by making products following the tastes of the tongue of the surrounding community so that Deddy Bro Coffeshop not only sells a good, comfortable and aesthetic place but quality products and fits the tongue of the surrounding community.

Conclusion

Islamic business ethics is defined not only in the form of concepts and procedures, but also included in obligations, which means that a person who is Muslim and is running a business, is obliged for him to carry out business practices that do not contradict Islamic sharia. Tawhid provides awareness for business people that all forms of resources on earth belong only to Allah SWT absolutely.

From the description of the discussion above, Daddy Bro Coffeshop has applied the principles of Islamic business ethics consisting of tawhid (unity), balance (equilibrium), free will (free will), and responsibility (responsibility). Based on honesty and trustworthiness. Honesty and trustworthiness are very important to be applied in other business people because honesty and trustworthiness as initial capital build business trust in customers.

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Received: 03-Apr-2023, Manuscript No.JMIDS-23-13412; Editor assigned: 05-Apr-2023, Pre QC No. JMIDS-23-13412 (PQ); Reviewed: 19-Apr-2023, QC No. JMIDS-23-13412; Revised: 21-Apr-2023, Manuscript No. JMIDS-23-13412(R); Published: 29-Apr-2023

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