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2nd International Conference on Islamic Finance, Economic and Business (ICIFEB) 2018 October 29, 2018

GROWING HALAL IN , WHICH CAN INFLUENCE NATION’S COMPETITIVENESS

Sri Widyastuti*, Sudarmin Parenrengi. **, Fatima Tuzzahara Alkaf. *** Faculty of Economic and Business, Universitas Jl. Srengseng Sawah – Jagakarsa – Jakarta Selatan, . *Email: [email protected] Tel: +628129383050 **Email: [email protected] ***Email: [email protected]

ABSTRACT This study aims to find out how halal tourism in services, infrastructure, human resources and government policies that have a green concept will be able to influence the nation's competitiveness. The study was conducted in Jakarta and its surroundings with a purposive sample from the 's visiting borders. The outcome of the study shows that tourism services, tourism infrastructure, and government policies in supporting green concept halal tourism were able to influence the nation's competitiveness. Human resources prepared to compensate for the growth of halal tourism have no effect, this is due to determining comfort, a satisfaction of tourists visiting the area human resources do not have good skills in halal tourism. They need to get a lot of business certification in the tourism sector. The training aims to make tourism human resources have competitiveness against tourism human resources in other ASEAN regions and can advance the halal tourism industry in Indonesia. Keywords: halal tourism, nation’s competitiveness.

Introduction The tourism sector is growing rapidly in the world and produces the top export category with a total of USD 1.6 trillion, or USD 4 billion on average per day. The highest increase since the global economic crisis in 2009 and well above the long-term estimate of 3.8% per year for the period 2010 to 2020, (UNWTO Tourism Highlight, 2018). As many as 1,323 million international tourist arrivals grew by 6.8% in 2017, driven by sustainable travel demand to destinations in all regions of the world and driven by rising global economic growth. In addition, the tourism sector is a contributor to 9.8 million jobs or 8.4 percent. Employment grew by 30 percent in 5 years, where the lowest job creation was USD 5,000 per job. Furthermore, the fastest growing religion in the world is Muslim, with around one in four people worldwide becoming Muslim, making up more than 1.6 billion people, or about 23.4 percent of the world's total population, making a religion with the largest number of adherents in the world. By 2050, this will increase to 2.8 billion or about one in three people around the world who practice Islam with the majority coming from the Pacific region (PEW Research Center). Indonesia is a country that has natural beauty, a legacy of customs and culture that is abundant in the world. Residents who embrace In 2010 some 12.7 percent of the total Muslim world or around 205 million people or 88.1 percent of the total population, (The Pew Forum on Religion & Public Life, 2010). Thus the Muslim travel market continues to grow rapidly and will continue to grow up to the tourismUS $ 80 billion to reach US $ 300 billion in 2026, (Master Card and Crescent rating (2018) in the Global Muslim Travel Index / GMTI). In 2017, an estimated 131 million

1 2nd International Conference on Islamic Finance, Economic and Business (ICIFEB) 2018 October 29, 2018 Muslim visitor arrivals globally rose from 121 million in 2016 and are expected to continue to grow to 156 million visitors in 2020 representing 10 percent of the travel segment. In 2020 it is estimated that the number of Muslim tourists will increase (Master Card and Crescent rating (2018) in the Global Muslim Travel Index / GMTI), to 156 million tourists and representing 11 percent of the tourism industry segment which is forecast with spending of US $ 220 billion. According to Siti Daulah Khoiriati (2018) with the largest Muslim population in the world, Indonesia follows the trend and takes part in the halal tourism market at the global level by introducing the Halal concept for several tourist destinations. With increasing competition in the world of tourism, no longer enough to rely solely on nature and culture tourist attraction, a creative strategy is needed to attract global tourists, namely halal tourism. Based on the 2018 GMTI in the Organization of Islamic Cooperation (OIC) destination group, continues to be at the top of the index for the eighth consecutive year with an index score of 80.6. Malaysia has managed to maintain its leadership as one of the best destinations for Muslim tourists in terms of various criteria analyzed. Indonesia is still ranked second in the world halal tourism destination, below Malaysia. In 2015, in Indonesia won the 2015 Best Halal Destination Award and The 2015 Best Halal Honeymoon Award held in Abu Dhabi. This achievement has become a driver to enliven halal tourism potential in various provinces or regions in Indonesia. This reputation has been portrayed by the Travel and Tourism Competitiveness Index (TTCI) in 2017, which was officially released by the World Economic Forum (WEF). After 2015, Indonesia's position from the top 70 board increased to 50. In the future, Indonesia can be projected to rise in the top 30 in the world and for this reason, the development of the tourism sector will likely be able to match or Malaysia in 4 or 5 years. From the WEF it is known that the main strength of Indonesian tourism is natural tourism (ranked 14th), (Nuran Wibisono, 2017), but there are still many cases of natural destruction in Indonesia, ranging from the opening of protected forests for gold mining, sea reclamation for business purposes, deforestation, also destroy karst for cement mines and so on. A set of green economy scenarios is to stimulate green economy policies in key sectors, including, for example, agriculture, energy, industry, tourism, waste, and water, (Andrea, 2016). Green tourism development supports efforts to preserve the natural and cultural environment and increases community participation and involvement in its management. The concept of green tourism is expected to guarantee the distribution of economic benefits to the local community and government and to preserve the environment. Based on the explanation above, this research was conducted with the aim to find out how halal tourism in services, infrastructure, human resources, and green concept government policies will be able to influence the nation's competitiveness. Literature Review Halal Tourism The phenomenon of tourism is not only limited to certain types of pilgrimage/religious tourism, but develops into new forms of universal values such as local wisdom, benefits for society, and elements of learning. Thus it is not impossible if Muslim tourists become a new segment that is developing in the world tourism arena, (The tourism ministry of the Republic

2 2nd International Conference on Islamic Finance, Economic and Business (ICIFEB) 2018 October 29, 2018 of Indonesia, 2015). At this time, Islamic tourism is considered as a very promising place in the near future, considering that Islamic tourism has received much interest in recent years, Kristel (2015). According to Sofyan (2012), the definition of tourism is broader than religious tourism, namely tourism based on Islamic sharia values. As recommended by the World Tourism Organization (WTO), sharia tourism consumers are not only but also non-Muslims who want to enjoy local wisdom. The definition explains, the general criteria for sharia tourism are; has an orientation to public benefit, has an orientation of enlightenment, refreshment, and tranquility avoids polytheism and superstition, is free from immorality, maintains security and comfort, preserves the environment, and respects social- cultural values and local wisdom. Furthermore, the term sharia tourism, also known as Halal tourism. Halal tourism is a new concept of tourism and is not religious tourism such as umroh and performing Hajj. Halal tourism is tourism that serves holidays, by adjusting the holiday style according to the needs and requests of Muslim travelers. For example, hotels that carry sharia principles do not serve alcoholic beverages and have separate swimming pools and facilities for men and women, (Wuryasti, 2013). Halal tourism was launched to coincide with the Indonesia Halal Expo (Index) and the 2013 Global Halal Forum. Munirah (2012) described Islamic tourism as a tourism demand from a Muslim tourist based on lifestyle during the holidays. Jaelani (2016) added that Islamic tourism is a journey to contemplate miracles and enjoy the beauty of the universe created by Allah SWT so that it will make the soul of the traveler stronger in his faith and at the same time help the obligations of one's life. Islamic brand image combines culture, the point is religious attributes that characterize Muslim needs, beliefs and consumption patterns based on sharia law and the Quran. Then the Islamic brand is often synonymous with halal branding, Kristel (2015). According to Farahani & Henderson (2009), Islamic tourism can be interpreted as an act of traveling a Muslim from one place to another or being in one place outside their place of residence for a short period of time and involved in religious activities. Malaysia continues to strive to become a popular Islamic tourist destination in the world and builds a halal hub for financial products and services, Islamic and halal tourism, Shafaei & Mohamed, (2015). Tourism Services In measuring service quality, Servqual models may be the best, initially developed by Parasuraman, (1988). Tawinunt, Phimonsathien, & Fongsuwan (2015) explained that service quality, customer relationship management will provide a better response to buying needs and habits and contribute to management's strategic planning that builds better customer satisfaction standards. Hefer, (2014) showed that perceptions of service tangibility and overall service satisfaction levels are slightly above average. (Nasrin, 2014; Widyastuti & Mu'afiah, 2015) explained that the mental picture of the restaurant has a positive effect on perceived value and customer satisfaction, the value perceived by the customer has a positive effect on customer satisfaction and customer satisfaction has a positive impact on behavioral intention. The perceived quality of service and customer delight are able to create loyalty. If tourists are passionate about the quality of service, it will make a strong foundation for always relationships in the future and can help retention first-time tourists, and attract new tourists and will be back in touch with advertisements and word of mouth referrals. Human Resources

3 2nd International Conference on Islamic Finance, Economic and Business (ICIFEB) 2018 October 29, 2018 The role of human resources as workers, experts and professionals plays a role in observing, controlling and improving the quality of tourism as well as being as important as the people around the tourist area which are not included in the above categories, but also determine the comfort, satisfaction of tourists visiting the area tourism, (Rony Ika Setiawan, 2016). Juan M. Madera, (2017) stated that tourism requires human capital and company performance, practices and performance of high-performing HR, international/global problems and strategic human resources, individual HR practices and performance, and specific strategic human resources of each country. Ervina's (2017) studied conclude that the lack of human resource capacity of apparatus in the tourism sector was due to the lack of education and training carried out by the regional tourism agency. According to (Warsitaningsih, 2002) the development of tourism human resources is related to the development of knowledge about service procedures related to the variety of tourism activities, such as services in hotels, in contrast to services in recreational areas that are needed in the field of service, as well as the development of attitudes, behavior, manners, and so forth. The lack of superior quality tourism HR that has the ability seems to have been quite serious. Tourism workforce is expected to have competitiveness against tourism workers in other ASEAN regions and can advance the tourism industry in Indonesia, Sedarmayanti (2014). Tourism Infrastructure Infrastructure improvements will be able to improve the nation's competitiveness. Indonesia's current weakness is the matter of tourism infrastructure services. Indonesia is only ranked 96 in the Travel and Tourism Competitiveness Index (TTCI). (Nuran Wibisono, 2017). Another disadvantage arises in terms of readiness in the field of Information and Communication Technology (ICT). ICT is an important factor for a country's tourism, because the advocates of the tourism industry rely on the internet network, ranging from ticket providers, travel agents, restaurants, to hotels. Government Policy Malaysia, which since 2006 has developed and developed a mature design plan for the halal industry in its country. Through the Ministry of Tourism of the Republic of Indonesia established the Halal Tourism Development Acceleration Team with the aim to attract halal tourism market share throughout the world, with programs related to policies and regulations, marketing, development of various attractions and access to transportation so that tourists feel comfortable and in accordance with the goals of Halal tourism. Furthermore, the legal basis for halal tourism activities is based on the Law (UU) No. 10 of 2009 concerning Tourism. Previously the government had issued a technical regulation on halal tourism support facilities in the form of Minister of Tourism and Creative Economy Regulation No. 2 of 2014 concerning Guidelines for Sharia Hotel Business Operations. In its formulation, the government is assisted by the National Sharia Board (DSN). However, finally, the rule was revoked by Regulation of the Minister of Tourism No. 11 of 2016 because it received mixed reactions from industry circles. Then, in 2016, the Indonesian Sharia Council of the Indonesian Ulama Council (DSN-MUI) issued Fatwa Number 108/DSN-MUI/X/2016 concerning Guidelines for Organizing Sharia-based Tourism. Then the Indonesian Ministry of Tourism issued a Decree of the Indonesian Minister of Tourism KM.40/OT.001/2018 regarding Logo Tourism Indonesia and the Indonesian Halal Tourism Logo to support the development of halal tourism.

4 2nd International Conference on Islamic Finance, Economic and Business (ICIFEB) 2018 October 29, 2018 One area that has been known as a world halal tourist destination in Indonesia, namely , (NTB). The NTB government continues to improve the quality of its region in order to maintain the best halal tourist destination. One of the efforts to improve the quality is the birth of the Halal Tourism Regional Regulation (Perda) in Lombok, NTB. 2 of 2016 concerning halal tourism, it is written that the scope of Halal Tourism regulation in this Regional Regulation covers destinations, marketing, and promotion, industry, institutions, coaching, supervision, and financing. Followed by the Governor of West () published a Decree on the Integrated Team of the West Sumatra Province Tourism Development Acceleration consisting of all Regional Device Organizations (OPD) and activists and professionals in the tourism sector. Green Tourism According to Vaghefiet al, (2015) a green economy strategy needs to be integrated with international and national development goals. Makmun (2016) argues that there are several views between developed and developing countries about how the concept of green economy is understood in the context of sustainable development, because there are doubts about how to create an innovative green company business and lack of certainty or encouragement from the government about how to proceed, Newton and Newman, (2015). According to (Widyastuti & Santoso, 2016) the green consumer movement was a form of concern for the environment that raises the green market, if the company wants to survive in this market, it can provide a green label in all aspects of its business. A green economy can be modeled by integrating dimensions of social, economic, and environmental development, Chow & Chen (2012). There is no choice for companies other than to started practicing sustainable green management, Rajput, Kaura, & Khanna (2013). Thus the green logo on the products or services that the company produces shows that their products or services have competitive advantages. services provided significant benefits to non-communities and stakeholders who have rights to resources, and to balance the relative value of incentives with other tourism revenues, Eshoo, et al (2018). The application of a competitive concept of ecotourism can preservedd spatial planning and decrease the pollution of the hotel industry, reefs and seaweed and open new oceanic landscapes, following the coastline, Hengky, (2014). Nation Competitiveness Results that linked competitiveness and indicators of sustainability through strong linkages are indicative of the World Economic Forum analysis. The core competitiveness is the competitiveness of the tourism industry that is the most important area to own and maintain its competitive dominance (Zilli and Benhua, 2014). Conversely, many countries at the top of the competitiveness ranking are also the best players in many areas of sustainability that may be related to the choice of specific indicators, Santos & Brandi (2014). National scientific competitiveness is things that do not have to have high technology requirements but prioritize the most sophisticated needs of the community, Cimini, Gabrielli & Labini, (2014). According to Eddy & Metz (2015) that multiculturalism can function as an effective public policy tool to improve the competitiveness of a nation, in an era marked by financial crises, globalization, immigration, and demographic changes. Furthermore (Boșcoianu, Costea, & Codreanu, 2015) stated that overall economic competitiveness, and, implicitly, that

5 2nd International Conference on Islamic Finance, Economic and Business (ICIFEB) 2018 October 29, 2018 great interest is in the field of tourism. Analysis of tourism competitiveness was obtained by experts in the field of tourism for the World Economic Forum report, and secondary data from international surveys came from organizations, institutions, Costea, Hapenciuc & Arionesei, (2016). Method The method used in this study is quantitative descriptive by verifying the variables in the research paradigm. Samples were taken purposively as many as 122 domestic tourists who visited tourism objects in Jakarta more than 3 times in different tourism objects in Jakarta. Retrieval of data with questionnaires and in-depth interviews with experts / chair of Indonesian halal tourism acceleration. The data were tested for validity and reliability and processed with SPSS 22.00. Discussion The profile of tourists in the Jakarta Capital City Special Region shows that the most number of female customers is 63%, and males as much as 37% of the total number of tourists are 122 people. Age characteristics, which the most dominating is the age between 20-30 years as many as 55%, with professional backgrounds 43% and private workers 22%, Non-Muslim 10%. Tourist education 30% high school, bachelor 53% and having 2-5 million / month income as much as 39%, visiting tourist destinations for 2-5 days in the amount of 45% and less than 2 days 48%. Stay at the hotel is 30% and homestay35%. Knowing tourist objects from electronic media 59% and oral information 27%. Involving 89% of tour guides, food sellers and souvenirs 57.5%. Travelers want 36% of clean, beautiful and well-maintained environmental facilities, 25% information service and 17.6% places of worship available. Riyanto Sofyan (2018) explained that Indonesia has a superior tourist attraction compared to Malaysia. The total Muslim population in Indonesia is 88% of the 250 million inhabitants and Indonesia also has more than 850,000 mosques scattered throughout Indonesia. But the promotion and commitment of the Malaysian government far stronger, even though the number of Muslims in Malaysia is only 55%. Furthermore, there are three main products of general tourism and halal , namely: products (nature), culture (man-made). The concept of halal tourism is the availability of halal food and beverages, the availability of facilities that are reasonable and convenient for washing with water, the availability of facilities that make it easy to worship, and products and services in businesses and tourist objects, conducive to "style" Halal Life. Attractions, products, and services in certain businesses are very conducive to halal tourism. So in principle, it is not exclusive but inclusive which means that all tourists including non-Muslims can take part in feeling the facility because Indonesia has a natural and nautical culture that can be enjoyed by non-Muslim tourists. The basic framework for halal tourism development is targeted at achieving increased foreign exchange tourism, increasing GDP, increasing employment. The main indicators are increasing visits of Muslim tourists, increasing the competitiveness of halal tourism destinations and developing the halal tourism industry. The opportunities in halal tourism development are still very broad, including the attractiveness of the tourism industry and the diverse and developed halal lifestyle; the availability of Muslim-Friendly Amenities (Hotels,

6 2nd International Conference on Islamic Finance, Economic and Business (ICIFEB) 2018 October 29, 2018 Restaurants, etc.) that have begun to develop; cooperation with multinational organizations to develop halal tourism infrastructure. In addition to these three opportunities, the challenges faced by Indonesia in halal tourism development consist of the level of awareness, commitment and competence to work on the market prospects of the tourism industry and the halal lifestyle of halal tourism stakeholders, not optimal conditions of tourism infrastructure and halal lifestyle (standardization, certification , capacity building and others, as well as the extent of Indonesia's branding and promotion activities as halal tourism destinations. Next is testing the hypothesis which begins with testing the validity and reliability of research instruments. The result is all valid variables with R count above 0.1657 and reliable with Cronbach Alpha value above 0.600 standard value. All variables contribute 94%. The rest are other factors that were not discussed and elaborated in this study.

Tabel 1 Model Summary Std. Error of the Model R R Square Adjusted R Square Estimate 1 ,971a ,942 ,940 ,26063 a. Predictors: (Constant), tourism services, human resources, tourism infrastructure, government policy, green tourism. The calculated F value is 371,716 or greater than the table F value of 3.09 which means that there are influences from the five independent variables of tourism services, human resources, tourism infrastructure, government policy and green tourism towards national competitiveness. This is strengthened by the probability value of the nation-value (significance) of 0,000 or smaller than the tolerance value α = 5%. Thus based on the results of this study reject Ho and accept Ha which states there can be simultaneous influence between variables of tourism services, human resources, tourism infrastructure, government policy and green tourism to national competitiveness.

Tabel 2 ANOVAa Model Sum of Squares df Mean Square F Sig. 1 Regression 126,253 5 25,251 371,716 ,000b Residual 7,744 114 ,068 Total 133,997 119 a. Dependent Variable: national competitiveness b. Predictors: (Constant), tourism services, human resources, tourism infrastructure, government policy, green tourism.

Tabel 3 Coefficientsa Standardized Unstandardized Coefficients Coefficients Model B Std. Error Beta t Sig. 1 (Constant) .018 .099 .183 .855 Tourism Services .208 .094 .203 2.211 .029 Human Resources .014 .105 .012 .130 .897 Tourism Infrastructure -.170 .082 -.171 -2.077 .040 Government Policy .689 .104 .682 6.643 .000 Green Tourism .250 .105 .249 2.382 .019 a. Dependent Variable: National Competitiveness.

7 2nd International Conference on Islamic Finance, Economic and Business (ICIFEB) 2018 October 29, 2018 The multiple regression equation is:

Y = 0.18 + 0.208 X1 + 0.14 X2 – 0.170 X3 + 0.689 X4 + 0.250 X5. (2.211) (0.13) (-2.077) (6.643) (2.382)

From the equation, the value of b1 tourism services variable (X1) is 0.208, the value is b2 variable human resources (X2), 0.14, the value of b3 tourism infrastructure variable (X3) is - 0.170 and the value of b4 is government policy (X4) variable of 0.689, and the value of the b5 variable green tourism (X5) is 0.250, and the constant value (a) is 0.18. Furthermore, it is explained that the constant (a) = 0.18 shows a constant value, where if the variables X1, X2, X3, X4, X5 = 0, then national competitiveness (Y) = 0.18 which means if tourism services, human resources, tourism infrastructure, government policy, and green tourism is well managed, the level of national competitiveness is 0.18.

The coefficient b1 (X1) = 0.208 shows that tourism services variables have a positive effect on national competitiveness. So if tourism services variables are increased by one unit, then nation competitiveness will increase by 0.208 units. The coefficient of b2 (X2) = 0.14 shows that human resources variables have a positive effect on national competitiveness. So if the delight customer variable is increased by one unit, then nation competitiveness will increase by 0.14 units. The coefficient b3 (X3) = -0.170 shows that tourism infrastructure variables have a negative effect on national competitiveness. So if the variable tourism infrastructure is increased by one unit, then nation competitiveness will decrease by -0.170 units. Especially for the Jakarta Capital City Special Region tourism infrastructure is very complete and affordable to be enjoyed by domestic tourists visiting the capital. The coefficient b4 (X4) = 0.689 shows that the government policy variable has a positive effect on national competitiveness. So if the government policy variable is increased by one unit, then nation competitiveness will increase by 0.689 units. The coefficient b5 (X5) = 0.250 shows that green tourism variables have a positive effect on national competitiveness. So if the green tourism variable is increased by one unit, then nation competitiveness will increase by 0.250 units. Tourism services, tourism infrastructure, government policy, and green tourism have a significance of α <0.05 affecting the national competitiveness. Whereas human resources have no effect because α> 0.05 with the elaboration as follows: based on the analysis of partial test calculations and interpretations it is known that there is an influence between tourism services variables (X1) against nation competitiveness, with a t-count value of 2.211 or greater than the t-table value (1.66) and with a probability value (significance) of 0.029 or less than the tolerance value α = 0.05 which indicates a significant linear influence of tourism services on nation competitiveness. Excellence tourism services can shape the value perceived by tourists so that they are satisfied, loyal and retired (Nasrin, 2014; Widyastuti & Mu'afiah, 2015). Tourists are satisfied, loyal and retention of the quality of service will make a strong foundation for always relationships in the future and can help retention of first-time tourists, and attract new tourists and will be back in touch with advertising and word of mouth referrals. This is in line with the government's strategy in establishing the main strategic pillars used in halal tourism that sustain the tourism industry in Indonesia, namely on the first pillar: Marketing Development where the work program consists of developing marketing strategies: DOT (Destination, Origin, Time); development of promotional

8 2nd International Conference on Islamic Finance, Economic and Business (ICIFEB) 2018 October 29, 2018 strategies: BAS (Branding, Advertising, Selling), and development of media strategies: POSE/Paid media, Owned media, Social media, and Endorse (Digital Marketing).

In the partial test then there is influence between human resources (X2) variables to nation competitiveness, with t-count value of 0.130 or smaller than the t-table value (1.66) and with a probability value (significance) of 0.897 or less than the value tolerance α = 0.05 which indicates that there is no significant linear influence of human resources on nation competitiveness. In the Jakarta Special Capital Region, skilled human resources in tourism are still an obstacle in improving the quality of tourism. Lack of superior quality and certified tourism human resources seems to be quite serious, even though skilled human resources can provide comfort and satisfaction for tourists visiting the tourist area, (Rony Ika Setiawan, 2016). The training and certification aim to enable tourism workers to have competitiveness against tourism workers in other ASEAN regions and can advance the halal tourism industry in Indonesia. This has been determined by the strategy of the government in pillar 3, namely industrial and institutional development, in human resource development. Furthermore, the analysis of partial test calculation and interpretation shows that there is an influence between tourism infrastructure variables (X3) and nation’s competitiveness, with t-count values of -2.077 or greater than t-table values (-1.66) and with probability values (significance ) equal to 0.040 or less than the tolerance value α = 0.05 which indicates a linear and significant influence of tourism infrastructure on nation competitiveness. The development of tourism infrastructure in various facilities and facilities including ITC development is important for the tourism industry (starting from ticket providers, travel agents, restaurants, to hotels) because they rely on the internet network. In this case, amenities the government has established pillars2: Destination Development where the work program consists of: a) developing attractions; b) develop amenities (Hotels, Restaurants, etc.); c) development of accessibility and d) development of investment.

In the partial test the influence of government policy (X4) variable on nation competitiveness, with the t-count value of -2.077 or greater than the value of t table (1.66) and with a probability value (significance) of 0.040 or less than the value of tolerance α = 0 05 which indicates a significant linear influence of government policy on nation’s competitiveness. Institutional regulatory requirements of the Indonesian Ministry of Tourism have been prepared in such a way as to support halal tourism with pillar 3 strategy: Industrial and Institutional Development, in the work program for the development of product and service industries, namely halal tourism product and service policies. Analysis of calculation and interpretation of partial tests is known that there is an influence between green tourism variables (X5) against nation competitiveness, with a t-count value of -2.077 or greater than the value of t-table (1.66) and with a probability value (significance) of 0.040 or less than the tolerance value α = 0.05 which indicates a significant linear influence of green tourism on nation competitiveness. In the institutional regulatory completeness strategy of the Ministry of Tourism of Indonesia has been prepared in such a way as to support halal tourism through the pillar 3 strategy namely industrial and institutional development with its work program for the development of in halal tourism that is environmentally friendly. Conclusion

9 2nd International Conference on Islamic Finance, Economic and Business (ICIFEB) 2018 October 29, 2018 This paper suggests that halal tourism, such as business, contributes to the environmental problems facing the world today in order to achieve national competitiveness. Therefore, he has a role to find solutions to green environmental problems in halal tourism. Furthermore, it shows that halal tourism through green marketing is able to overcome challenges in increasing the nation's competitiveness. With services, infrastructure, and policies and the application of green tourism can influence the development of a better physical environment that will lead to sustainable tourism development that is able to realize the nation's competitiveness. The development of a halal tourism strategy that is carried out in stages with a focus strategy, will be expanded in the future based on the achievement of targeted results per year and carried out simultaneously and continuously. Subsequent research will be further extended to the study area and added samples of halal industry and tourism users. This is made possible by looking at halal tourism opportunities in various leading tourism destinations set by the Ministry of Tourism of the Republic of Indonesia. Acknowledgment Thank you to the Directorate of Research and Community Services, Directorate General of Research and Development Strengthening, Ministry of Research, Technology and Higher Education of the Republic of Indonesia in 2018 Institutional National Strategy Research Grant. Thanks also to Mr. Riyanto Sofyan, Chair of the Halal Tourism Development Acceleration Team, Chairman of PT. Sofyan Hotels Tbk. -Sofyan Hospitality. References Andrea, M.B. (2016). Moving towards integrated policy formulation and evaluation: the green economy model. Environmental and Climate Technologies. doi: 10.1515/rtuect- 2015-0009. Buhalis, D. (2000). Marketing the competitive destination of the future. Tourism Management, 21(1), 97-152. doi. 10.1016/S0261-5177(99)00095-3 Chow, W.S., and Chen, Y. (2012). Corporate sustainable development: testing a new scale based on the mainland Chinese context. Journal Business Ethics, 105:519–533, Springer Science + Business Media, DOI 10.1007/s10551-011-0983-x. Cimini G., Gabrielli, A. and Labini, S. (2014). The scientific competitiveness of nations. PLoS ONE 9(12): e113470. doi:10.1371/ journal.pone.0113470. Costea. M., Hapenciuc, C.V., and Arionesei, G. (2016). versus : A short analysis of the competitiveness of seaside tourism. CBU International Conference On Innovations In Science And Education. March 23-25, Prague, . www.cbuni.cz, www.journals.cz. Ervina (2017). Penerapan strategi pengembangan pariwisata oleh Dinas Pariwisata di Kabupaten Kutai Kertanegara. Journal Administrasi Negara, 5 (3): 6240-6253. Eshoo PF, Johnson A, Duangdala S,Hansel T (2018) Design, monitoring and evaluationof a direct payments approach for an ecotourism strategy to reduce illegal hunting and trade ofwildlife in Lao PDR. PLoS ONE 13(2): e0186133. Farahani Z. & Henderson J. C., (2009). Islamic tourism and managing tourism development in Islamic societies: The cases of and , International Journal of Tourism Research, 12(1). P.79–89. GMTI, (2018) .https://www.crescentrating.com/reports/mastercard-crescentrating-global- muslim-travel-index-gmti-2018.html. Hefer, Y. (2014). Measuring Service Quality: The Student as Primary Consumer.

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