Determinant of Market Share in the Indonesian Islamic Banking Industry

Abstract

Market share determines the position of revenue and public utilization of Sharia bank. This research aims to examine the internal and external determinant factors of Indonesia Sharia banking market share. The secondary data were obtained from the Financial Services Authority (OJK) and Bank Indonesia (BI). Autoregressive Distributive Lag (ARDL) was used to explore the short and long periods from the influence of variables, including total of offices, customers, third-party saving (DPK), and promotion. The results showed that the total number of Automated Teller Machines (ATM) had a contrastingly different impact. Therefore, this research recommends adding all variables quantitatively.