The Concept of Islamic Business Ethics in the Sale and Purchase

By: Yesti Puspitasari, Director of Human Resource Development (HRD) of Al-Fattah

Islam is the perfect religion that covers and regulates all aspects of human life (syumul), he set up the behavior system (tawhid), worship and also and social interactions (muamalah), where the one and the other are intimately interconnected. Tenets of Islam have adequate portion as found in the other two dimensions.

Business (tijarah) is one of the main components in the system muamalah. Therefore, Islam encourages its followers to cultivate this field professionally (itqan), so as to benefit himself, his family and the Muslims in general.

Legal origin of the business transaction in Islam is permissible (permitted), as long as there is no proof that shows that the type and form of such transactions are forbidden. This principle is an important base for businesses (tajir/mustatsmir) for innovation (tanmiyah) in conducting business activities as long as it does not conflict with the rules of Shari’a as well as basic principles (maqashid) in Islam.

Thinking of business ethics comes to the surface, on the grounds that, Islam is a perfect religion. It is a set of rules teachings (doctrine) and values ​​that can deliver the man in her life toward the goal of life’s happiness in this world and in the hereafter. Islam is a religion which provides a unified way of life on the rules of social aspects, cultural, economic, civil and political. He also is a system for all aspects of life, including spiritual systems as well as systems of economic and political behavior.

Sale and purchase is a transaction that almost all people do it every day, both in small and large scale. Even though Muslims make buying and selling, the sale and purchase transactions of which there is ethics that must be obeyed. In this case I will discuss the ethics of doing business in buying and selling in the view of Islam.

Literatur Review

In their paper J.J. Grafland, C. Mazereeuw dan A. Yahia, explores the relationship between the Islamic religion and the level of socially responsible business conduct (SRBC) of Islamic entrepreneurs. We find that the common idea of SRBC corresponds with the view of business in the Islam, although there are also some notable differences. We also find that Muslim entrepreneurs attach a higher weight to specific elements of SRBC than non-Muslims. But, on the other hand, we find that Muslims are less involved with applying SRBC in practice than non-Muslim managers. Furthermore, values and norms derived from the Islamic religion motivate entrepreneurs to contribute more to SRBC and lead to a higher commitment to specific aspects of SRBC compared to individually developed values and norms. Finally, the view of human nature of the Islam, preaching the natural goodness of man as a social being, leads to a positive view of SRBC.

Abdul Azim Islahi in his article says that Conventional economics, both in its free enterprise and command versions sought to delink the science of economics from moral religious values and reduce it to a positive science. Now most economists feel an urgent need for objective analysis of the entire economic landscape with a view to finding a fresh approach, which seeks the objective of efficiency and equity simultaneously and for all human beings. Productive investment is to be judged with reference to the twin criteria of economic viability and socio-moral desirability. Where and if the two conflict, the latter should get preference. The moral and ethical perspective is the common heritage of all religions. India is a plural society with multi-religious and diverse ideologies.

In such a society, an integration of ethics and economics provides a common acceptable solution to economic problems and is in complete harmony with people’s socio-cultural tendency. According to Dr. Md. And Md Golam Mohiuddin. Mizanur Rahman to build a system of axioms that reflect the Islamic view of ethics is an important first step in determining the rules of economic behavior in an Islamic society. The distinctive character of Islamic ethics rests largely on the conception of man in relation to God, self, the universe and has grown rapidly among academics, producers, consumers, workers, government and the general public.

Every business that functions in a shameless disregard for ethical considerations or more can cause great damage to society and exploitative. The practice of offering bribes to potential customers, misleading advertising, the sale of fake and counterfeit goods, hoarding and market manipulation at the expense of consumers, in particular, and society in general, just to give some examples. Contrary to that, Islam offers a unique perspective and ideal business ethics. Considers the business as a religious person, as long as it is done in accordance with the command of Allah, and the moral code of conduct prescribed by Islam.

Method

In this paper, the author will use the methods of descriptive writing. Descriptive method is a method in researching the status of a group of people, an object, a set of conditions, a system of thought or a class of events in the present. The purpose of this descriptive study was to create a description, picture, or painting in a systematic, factual and accurate information on the facts, properties and relationships antarfenomena investigated. According Sugiyono stated that the descriptive method is a method used to describe or analyze the results of the study but not used for make broader conclusions.
By using this method, I will attempt to collect data and images that occur at this time, the practice of business ethics is happening at the moment, particularly the Islamic business ethics. With this we will all know how the business practices going on around us, whether business ethics are in accordance with Islamic law or not in accordance with Islamic Shari’a.

Result and Discussion

Islam prohibits all forms of transactions merely based on chance and speculation, with all parties involved in the business was not explained carefully that consequently allowing the majority of the parties involved can profit but to harm others.
Islam is consent to the issue of ethics in business, who does not want any violation or deprivation of rights and other people’s wealth in various forms of transactions including how strongly criticized consume, and business conduct that contains elements of oppression (zhulm) and sleaze.
Justice is tawazun (balance) between the various individual potential both moral and material. He is tawazun between the individual and the community. Then, between one community and another community tawazun andnot no path to this except to arbitrate to Shari’a and to the Book and wisdom that He sent down.
Business in Islam positioning business sense in essence a human effort to seek the pleasure of Allah. Businesses are not aimed at short-term, individually and solely benefits based on mathematical calculations, but aimed at the short-term as well long term, namely personal and social responsibility confronted society, the State and Allah.
In the holly Quran many described on ethics in obtaining or producing assets. Islam does not advise his people to get the treasure in the wrong way as contained in the surah an-Nisa: 29 which means “O ye who believe, do not eat each other neighbor’s property by way of vanity, except by way of commerce Applicable with the same love-love between you. And do not kill yourselves; Verily Allah is Merciful to you. Prohibition of killing themselves include the prohibition of the killing of others, for killing another person is to kill oneself, because the people is a unity.”
In the above verse has mentioned that so are we getting money in the right way and in ridhai Allah. However, the practice of buying and selling that occurred at this time not a few people who meaan cheating in business, even including the Muslims themselves. Many sellers who commit fraud for the benefit of himself alone, there were fraud, reduce weight, to hide defects in the goods the buyer, but obviously it is detrimental to one side of them and do not reflect the ethics of Islam at all.
Free Prophet in business ethics that need to be considered in business: (1). Essential principle in business is honesty; (2). Awareness about the social significance of business activity; (3). Not perjured; (4). Courteus; and (5). Should not pretend to bid at high prices, so that other people are interested in buying at that price. Prophet has been very maintaining ethics in trade transactions, as we all know that he has done since he was little commerce. And in commerce it Rasullullah always do it honestly and fairly without any speculation in the transaction.

Conclution

Islam offers the integration of religious, economic, and social order to form a unity. On the basis of this view also the ethics and business into an integrated, vertically and horizontally, forming an equation that is very important in the Islamic system.
The reality is that business people often ignore ethics. Successful business people holding principles unscrupulous businesses, such as profit maximization, aggressiveness, individuality, spirit of competition, and conflict management.

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Reference

• https://mpra.ub.uni-muenchen.de, J.J. Grafland, C. Mazereeuw and A. Yahia, Islam and socially responsible business conduct: An empirical research among Dutch entrepreneurs, Netherlands: Tilburg University, 2006.
• https://mpra.ub.uni-muenchen.de, Abdul Azim Islahi, Ethico-economics, the future system, India: Aligarh Muslim University, 1994.
• https://scholar.google.com, Dr. Md. Golam Mohiuddin dan Md. Mizanur Rahman, Business Ethics in Islam, Kushtia, Bangladesh: Department of ManagementIslamic University. 2003.
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