Comparison Between Mortage Services In Islamic Finance And Conventional Finance Dissertation Methodologies Example

Comparison Between Islamic Finance And Conventional Finance

Introduction
The objective of this study is to discover the differences between the mortgage services between conventional finance and Islamic finance. To do this, I conducted research through using interviews and questionnaires. For the project, I carried out my research in more than five banks and took 2 workers from each bank. I asked them to fill the questionnaire and asked questions in an interview regarding the mortgages services offered at their bank. I also discussed the customer preferences observed on their bank. I asked about the preference to apply for a mortgage from an Islamic or conventional bank. I also asked respondents about choice of services based o religious beliefs. Through questionnaires, I take the response regarding the interest payments on mortgages required by conventional western banks and their comparison with the profit margins required by Islamic banks. The respondents were asked about the usability of either type of services and the contrast between them. Additionally, through a questionnaire I was able to get how current mortgage services are advantageous and disadvantageous. Similar open-ended questions were asked in interviews at both banks. I get information about mortgage contract they provide in the context of mortgages, the limit on mortgage funds, the preference of mortgage service at their bank, and the difference among both i.e.,; conventional and Islamic bank. I also acquired the customer preference, weaknesses and strengths, and the criteria for giving mortgage services. I also gathered information about the amount of yearly mortgage loan in the last year. During the interview, the point of view of customers regarding their services was also surveyed.

Methods

Advantages of questionnaires
There are various pros and cons of using questionnaires for collecting information. The first advantage which I observed was time-saving. With the questionnaire, I was able to take response of many candidates at a time. Questionnaires give a quantitative technique for information gathering the proof; information or data analyst discover communicated in numerical terms (Popper, 2005). The advantage of the questionnaire is that many respondents can be surveyed in a short period of time, therefore, using a questionnaire saves time of data collection. Similarly, I circulated questionnaire in more than five banks to get information. Also, through questionnaires a thorough information can be collected. Additionally, questionnaires save cost as well (Goodman, 1997). Questionnaire can be circulated either in printed form or can be emailed to various people with no cost. Besides their cost effectiveness questionnaires are easily usable. Another benefit of using a questionnaire was the data collected; I was able to collect sufficient data by surveying many candidates. Questionnaires are more unbending than meetings (Goodman, 1997). Unless the analyst leave a space for the interviewee to compose their own particular answer, the respondent can just look at the scope of answers analyst have given. Analyst accordingly needs to verify that analyst have planned their survey well. In the event that the motivation behind the survey is to discover verifiable points of interest or to look for reactions to firm classes, then questionnaires would provide extensive number of views regarding the subject (Goodman, 1997). In the event, that the reason for existing is to help find new subjective material, and then it is ideal to have more open, unpretentious and unstructured inquiries (Ackroyd, 1992).

Disadvantages of questionnaires

Questionnaires are not among the most noticeable routines in subjective examination, on the grounds that they ordinarily oblige subjects to react to a jolt, and hence they are not acting characteristically. The questionnaires need to be concise, brief and easy to understand so that the respondent may give the correct response. Another disadvantage is that sometimes the respondents are not in the mood to answer, and they fill it unseriously (Goodman, 1997). Preferably, there would then be a subjective "check" on a specimen of questionnaire answers to check whether respondents were translating things in the way proposed. On the other hand, a survey may be utilized as a part of the first case, took after by subjective strategies on a specimen as a look at and to fill certain peculiarities of the questionnaire answers. Communication among methods thusly is average of subjective examination. Questionnaires in subjective research regularly contain a mixture of the two. The questionnaires require checks, parities, augmentations and changes. There is no real way to tell how truthful a respondent is being. Also, the respondent may be careless or not thinking inside the full setting of the circumstance (Goodman, 1997). Respondents abide to respond from the given options only. There is a level of analyst inconvenience, implying that when adding to the questionnaire, the interviewer is settling on their own choices and presumptions with reference to what is and is not important (Ackroyd, 1992).

Advantages of interviews

A lot of subjective material originates from interviews with respondents whether it be through formal meetings or easygoing discussions. On the off chance that interviews are going to take advantage of the profundities of reality of the circumstance and find subjects' implications and understandings, it is key for the interviewer to create compassion with interviewees and win their certainty; and to be unpretentious during interview (Devers, 1999).
The surveyor has some general thoughts regarding the points of the meeting, and may have an assistant memoire of focuses that may emerge in exchange for utilization as prompts, if important. Consideration is required, thusly, to abstain from driving inquiries or recommending results, and the ability is called for in finding what the interviewee truly considers. The analyst means to seem common, not somebody with an extraordinary part, however, one who captivates with interviewees on an individual-to-individual premise. Consideration needs to be paid to where the meeting is held, plan of seating, how the surveyor dresses, way of methodology, all in light of a legitimate concern for balance (Devers, 1999). There may be a sure measure of average talk before getting into clarifying what the exploration is about. On the off chance that affinity has been secured, there ought, not to be a trouble in getting respondents to talk. The issue, rather, may be that they talk too insignificantly, or off the subject, or enigmatically (Devers, 1999).
A lot of information is produced, and if conceivable, it is an extraordinary playing point if the meeting can be tape recorded for later translation. Similarly, as with perception, it might be that the surveyor starts with a more centered study and wishes to know certain things. In these cases, an organized meeting may be more fitting. Here the interviewer chooses the structure of the meeting and sets out with foreordained inquiries. Likewise, with deliberate perception, this is less naturalistic. Inside the spaces, the same procedures as above strength apply, however, there is obviously not as much degree for the interviewee to create the plan. The surveyor can also participate in dynamic tuning in, which demonstrates the interviewee that nearby consideration is being paid to what they say; furthermore, tries to keep the contender concentrated on the subject, as unpretentiously as would be prudent. Interview is a methodology of building reality to which both sides contribute (Devers, 1999).

Disadvantages of interviews

The clearest drawback of directing any sort of interview is that they are drawn out, especially in the event that they are recorded and completely deciphered (i.e., word for word). Likewise, with the preferences of leading exploration meetings, inconveniences change with the sort of meeting (Bowling, 2005). Organized meetings inexorably constraint reactions, and the information got may not be dependable if there are blames in the way inquiries are asked or saw by the respondent. Organized meetings can be extremely constraining regarding permitting any genuine investigation or understanding of the reactions given (Bowling, 2005). In exceedingly organized meetings the key contrasts, in correlation with postal questionnaire fulfillment by the respondent, are that the interviewer can clarify questions that the respondent does not comprehend, or give prompts to help the respondent answer the inquiry. Reliable prompts are concurred in advance. The interviews sometimes may not be illustrative of a specific populace. Some would contend that it can be hard to pose as a viable rival the consequences of inside and out and interviews in that they may be certain to a specific association (Bowling, 2005).

Data source and sample size

In this research, more than five banks were targeted for collecting responses. The respondents were taken from more than five banks, and interviews were carried out in only two banks, out of which one was a conventional bank, and the other was Islamic bank. Islamic bank Kuwait was considered for collecting information about their mortgage services. The data source for conventional bank was Burgan Bank. For an interview, only one person was interviewed from only two banks. Dr. Mohammad G., who is Manager of Studies and Reports in the strategy and Corporate Affairs at Kuwait Finance House, was interviewed in the Islamic bank Kuwait. Also, I did an interview with an employee at a conventional bank, Burgan Bank.

Limitations

One of the limitation is that the interview was conducted for only two banks, however, the questionnaires were circulated in different conventional and Islamic bank. There is a big distinction in conducting interview and questionnaire survey (Bowling, 2005). There is a potential for observer bias in just about all interview. The data collected from interviewing one candidate from 2 banks was, therefore, insufficient. The interviewer sometimes limit the interview. If the interviewer directing the meetings can't keep up a solid feeling of objectivity all around, the interviewee will not provide exact information and clear response to questions (Popper, 2005). The volume of information sets aside a few minutes expanding. The analyst's vicinity amid information gathering, which is frequently unavoidable in subjective examination, can influence the interviewee’s reactions. The questions were also open-ended questions which limited the response of the interviewee . There is restricted extension for the respondent to answer addresses to any point of interest or profundity. The quality and convenience of the data is very indigent upon the nature of the inquiries asked (Bowling, 2005). The questioner can't include or subtract questions. Another limitation of interview is that the some important aspects of research were missed during formation of interview questionnaire (Bowling, 2005).

References

Ackroyd, S. (1992). Data collection in the context. Longman Group United Kingdom.
Bowling, A. (2005). Mode of questionnaire administration can have serious effects on data quality. Journal of public health, 27(3), 281-291.
Devers, K. J., & Frankel, R. M. (1999). Study design in qualitative research--2: Sampling and data collection strategies. Education For Health (Abingdon, England), 13(2), 263-271.
Goodman, R. (1997). The Strengths and Difficulties Questionnaire: a research note. Journal of child psychology and psychiatry, 38(5), 581-586.
Popper, K. (2005). The logic of scientific discovery. Routledge.