IDENTIFYING INTERNAL FACTORS OF HANDBAGS PRODUCT QUALITY BASED ON THE PERCEIVED QUALITY AMONG MANUFACTURING WORKERS

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Sastrosatomo, Ardiyo U.R. (2025) IDENTIFYING INTERNAL FACTORS OF HANDBAGS PRODUCT QUALITY BASED ON THE PERCEIVED QUALITY AMONG MANUFACTURING WORKERS. Graduate thesis, IPMI institut.

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Abstract

The fashion industry continues to grow globally and is forecasted to reach USD 2.5 trillion by 2025. Within this sector, luxury handbags represent one of the fastest growing segments, with market value expected to rise from USD 58.3 billion in 2018 to USD 89.9 billion by 2026. Despite this promising trajectory, manufacturers face increasing pressure from shifting consumer expectations, digital disruption, and economic volatility. These factors make product quality a critical focus for brands striving to maintain customer satisfaction and loyalty. While many studies have investigated external factors affecting quality, such as branding and consumer trends, there is a noticeable gap in research regarding internal production factors, particularly from the perspective of the workers directly involved inmanufacturing. This study addresses that gap by examining how internal operational elements influence the perceived quality of luxury handbags.Grounded in Total Quality Management (TQM) principles, the study evaluates five key internal factors: worker quality education, quality mindset, teamwork and cooperation, tooling/machinery conditions, and material quality. Data was collected through questionnaires completed by 410 production workers in Indonesian handbag manufacturing companies. Structural Equation Modeling (SEM) was applied to analyze the relationships between these variables. The findings reveal that all five internal factors have a significant and positive influence on perceived product quality. These results underscore the importance of investing in internal manufacturing practices as a strategic approach to enhancing product excellence and maintaining a competitive edge in the luxury fashion industry.Keywords: Total Quality Management, perceived product quality, handbag manufacturing , Structural Equation Modelling (SEM)

Item Type: Thesis (Graduate)
Subjects: H Social Sciences > H Social Sciences (General)
Divisions: Thesis > Master of Business Administration
Depositing User: sandra margaretha
Date Deposited: 15 Dec 2025 04:03
Last Modified: 15 Dec 2025 04:03
URI: http://repository.ipmi.ac.id/id/eprint/2844

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