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Determinants of Family Takaful Loyalty in Malaysia: An Exploratory Factor Analysis


Ahmad Shukri Yazid, Juliana Arifin, Fauzilah Salleh, Puspa Liza Ghazali and Mohd Sadad Mahmud
Abstract

The purpose of this study is to identify the critical factors that influence the participants‟ loyalty in the family Takaful context. The survey was conducted in Malaysia towards 100 participants of family Takaful. The researcher thus gets along with a set of 10-Likert Scale instruments consisting of four constructs namely, Innovation Attributes (IN),Trust (TR), Relationship Commitment (RC), and Loyalty (LO). Using the Statistical Package for the Social Sciences (SPSS) version 21, the Cronbach Alpha and Exploratory Factor Analysis (EFA) were used to measure the reliability and validity of the instrument. The Cronbach‟s Alpha test showed that the overall score was above 0.7 indicating high reliability of the items in the instrument. Manwhile, EFA was performed with the items using Principal Component Analysis extraction and Varimax rotation. There were 31 items retaining the factor loadings above 0.6 out of 42 items, reflecting the dimensions of the four constructs.The result obtained has verified high reliability and validity of the instrument used in this study.

Volume 12 | Issue 4

Pages: 291-298

DOI: 10.5373/JARDCS/V12I4/20201443