THEROLEOFCUSTOMERVALUEINHALALPRODUCTS CONSUMPTIONTOWARDSSPIRITUALWELLBEING USINGRELIGIOSITYASMODERATINGROLE THESIS Inpartialfulfilmentoftherequirements fortheDegreeofMasterofScienceinManagement fromInstitutTeknologiBandung By SALMAYUNISAVINANDAPUTRI StudentID:29020026 (MasterProgramofScienceinManagement) INSTITUTTEKNOLOGIBANDUNG 2023 ABSTRACT TheRoleofCustomerValueinHalalProductsConsumption TowardsSpiritualWellbeingusingReligiosity asModeratingVariable By SalmaYunisaVinandaPutri StudentID:29020026 (MasterProgramofScienceinManagement) Halalproductsareavaluableindustrythatisexpandingduetorisingbirthrates andagrowingyouthfulpopulation,andSharialawdemandsthatcommodities usedonaregularbasisbyMuslimsincludehalalcomponentsandundergo comprehensivehalalmanufacture.Priorstudy,however,revealsthathalal productsareconsumednotonlybyMuslims,butalsobynon-Muslimsduetothe valuesincludedwithintheproducts.Mindfulconsumerswhointentionallychoose halalproductsaspiretoattainthevaluesinsidetheproductsandachievethegoals oflife'sprosperityandtranquility,whichleadsthemtothespiritualwell-being theywant.Themorepeoplefeelspirituallyfulfilled,themoretheywantto continuebeingconscientiousconsumers,whichleadstoconscioussustainable consumption.Thisstudyintendstoinvestigatehowperceivedvalueslinkedwith halalproductsimpactpeople'sconsciousconsumptionbehaviors,andhowthis behaviorleadsconsumerstospiritualwellbeingandconsciousnessforsustainable consumption. Thisstudywillalsoexaminewhetherornottheexistenceofreligiousbelief moderatestheirconsciousbehavior.Thestudyproposedanumberofguidelinesto followwhileconvertingtoandutilizinghalalproducts.Itisfeasibletoforecast people'sconsciousconsumptionusingthistechnique.Therealdataemploy regressionstodeterminetherelevanceofadependentvariable,dependingon severalcomponentsasindependentvariables,andexploratoryfactoranalysiswas usedtoexamineitemvalidityandvalidity.Onlywithreligiousbeliefasa moderatingvariabledidthefindingsindicatethatSocialValuehadasignificant influenceonhalalproductsconsciousconsumption.Meanwhile,independentof religiousbelief,thethreeothervalueshaveaconsiderableinfluenceonconscious consumptionontheirown.Meanwhile,conscientiousconsumptionhasa favorableimpactoncustomers'spiritualwell-beingandtheirdesiretousehalal productsasasustainablebehavior. Keywords:HalalProduct;Value;ConsciousConsumption;Religiosity;Spiritual wellbeing;ConsciousnessSustainableConsumption. ii ABSTRAK PeranNilaiPelanggandalamKonsumsiProdukHalalterhadap KesejahteraanSpiritualdenganMenggunakanReligiusitassebagai VariabelModerasi Oleh SalmaYunisaVinandaPutri 29020026 (ProgramStudiMagisterSainsManajemen) Produkhalalmerupakanindustriyangbernilaitinggiyangberkembangkarena meningkatnyapertumbuhanpopulasimuslim;danhukumsyariahmenuntutagar komoditasyangdigunakansehar-hariolehumatIslammerupakankomponen halaldanmenjalaniprosesproduksihalalyangkomprehensif.Namun,penelitian sebelumnyamengungkapkanbahwaprodukhalaltidakhanyadikonsumsioleh umatMuslim,tetapijugaolehnon-Muslimkarenanilai-nilaiyangterkandungdi dalamnya.Konsumenyangsadardansengajamemilihprodukhalalbercita-cita untukmendapatkannilai-nilaididalamproduktersebutdanmencapaitujuan kemakmurandanketenanganhidup,yangmembawamerekapadakesejahteraan spiritualyangmerekainginkan.Semakinbanyakorangmerasaterpenuhisecara spiritual,semakinmerekainginterusmenjadikonsumenyangteliti,yang mengarahpadakonsumsiberkelanjutansecarasadar.Penelitianinibermaksud untukmenyelidikibagaimananilai-nilaiyangdirasakanterkaitdenganproduk halalberdampakpadaperilakukesadarankonsumsimasyarakat,danbagaimana perilakuinimembawakonsumenpadakesejahteraanspiritualdankesadaran untukkonsumsiberkelanjutan. Studiinijugaakanmengujiapakahkeberadaankeyakinanagamamemoderasi perilakusadarmereka.Studiinimengusulkansejumlahpanduanyangharus diikutiketikaberalihkedanmenggunakanprodukhalal.Sangatlahmungkin untukmeramalkankonsumsisadarmasyarakatdenganmenggunakanteknikini. Datariilmenggunakanregresiuntukmenentukanrelevansivariabeldependen, tergantungpadabeberapakomponensebagaivariabelindependen,dananalisis faktoreksploratoridigunakanuntukmengujivaliditasdanvaliditasitem.Temuan menunjukkanbahwadengankeyakinanagamasebagaivariabelmoderasi,nilai Sosialmemilikipengaruhyangsignifikanterhadapkonsumsisadarprodukhalal. Sementaraitu,terlepasdarikeyakinanagama,ketiganilailainnyamemiliki pengaruhyangcukupbesarterhadapkonsumsisadarsecaraindividual. Sementaraitu,kesadarandalamberkonsumsimemilikidampakyangbaik terhadapkesejahteraanspiritualpelanggandankeinginanmerekauntuk menggunakanprodukhalalsebagaiperilakukonsumsiyangberkelanjutan. Keywords:ProdukHalal;Nilai;KesadaranBerkonsumsi;Religiusitas; KesejahteraanSpiritual;KonsumsiBerkelanjutan ii THEROLEOFCUSTOMERVALUEINHALALPRODUCTS CONSUMPTIONTOWARDSSPIRITUALWELLBEING USINGRELIGIOSITYASMODERATINGROLE HALAMANPENGESAHAN By SalmaYunisaVinandaPutri StudentID:29020026 MasterProgramofScienceinManagement InstitutTeknologiBandung Approved December21th,2023 Supervisor ______________________ (NilaArmeliaWindasariS.A.,MBA.,Ph.D) iv THEGUIDANCEFORUSINGTHETHESIS Unpublishedmasters’thesisisregisteredandavailableintheLibraryofBandung InstitutofTechnology,andisopenforpublic,providedthattheauthorownsthe copyrightinaccordancewiththeintellectualpropertyrightsthatareapplicablein theLibraryofInstitutTeknologiBandung.Bibliographicalreferencesareallowed tobeuseinalimitedmanner,howeverthecitationandsummarizationcanonlybe proceedupontheauthor’spermissionandmustincludethescientificnormof statingthisthesisasthesource. Thisthesishastobecitedas: Putri,SalmaYunisaVinanda.(2023):TheRoleofCustomerValueinHalal ProductsConsumptionTowardsSpiritualWellbeingusingReligiosityas ModeratingVariable,Masters’Thesis,InstitutTeknologiBandung. Reproductionorpublicationofpartsorwholeofthethesismustbeunderthe consentoftheHeadofGraduateSchool,BandungInstituteofTechnology. v PERUNTUKAN Idedicatedthisthesisspecificallytomyselfasanappreciationformy perseveranceinthefaceofadversitytobecomingabetterperson.Secondtribute tomyparents,RadenDiahPermanaImamMustikaandTeuisNetiAgustine,for theirunconditionalaffections,trusts,andsupportsforme. Ialsodedicatethisthesistomylovelyfamily,innumerablefriends,andlecturers whohaveprovidedmewithmaterial,physical,andemotionalsupportthroughout thethesis-writingprocess.Ishallbecontinuallygratefultoeveryonewhoassisted meinwritingmythesisandsupportedme,whocannotbeaddressedindividually. vi STATEMENTOFAUTHORSHIP IherebydeclarethatIamthesoleauthorofthisthesis,andtothebestofmy knowledgeandbelief,thethesiscontainsnomaterialpreviouslypublishedor writtenbyanotherpersonexceptwhereduereferenceismade.Ifurtherdeclare thatthisthesishasnotbeenpreviouslysubmittedtoobtainadegreeatthisorany otherhighereducationinstitution. SalmaYunisaV.P. Bandung,December2023 vii ACKNOWLEDGEMENTS TheauthorwouldliketothankAllahSWTbecauseofHismercyandgrace,the authorcanfinishthisthesis.Theauthorwouldliketothankprofuselyto: 1.Prof.Dr.Ir.IgnatiusPulungNurprasetio,M.SME,asSchoolofBusinessand ManagementDean,InstitutTeknologiBandung 2.Dr.W.VictoAnggaraWisesa.,asMasterofScienceinManagementDirector, InstitutTeknologiBandung 3.NilaArmeliaWindasari,S.A.,M.B.A.,Ph.D.,asathesissupervisorwhohas providedalotofguidanceandknowledgeinresearchdesignandtheprocess ofmakingthisthesisuntiltheend 4.AtikAprianingsih,DBAasexaminer1/ChairwomanandDr.Liane Okdinawatiasexaminer2/member,whowillgivesuggestionstomakethis thesisbetter 5.SBMITBlecturerswhocontributedknowledgesandideasforthisthesis 6.Belovedparents,RadenDiahPermanaImamMustikaandTeuisNeti Agustine,aswellastheentireextendedfamily,havealwaysassistedand providedmoralandmaterialsupporttocompletethisthesis. 7.Businessandmanagementstrategyteamcolleagues,Shifa,Ilham,Ligasyah, Aria,andAsep,fortheirassistanceduringthethesis-writingprocess 8.MSMGeneralclassmateswhohavebeensupportiveandupliftingme throughouttheentireyearofstudyuntilthecompletionofmythesis 9.Ethan,Fiore,Rara,Pingkan,Anggia,Jena,Bulan,Rayi,Dimas,Dawersa, Abi,Irham,Azimah,Shabrina,Astri,Amesandmanymoreofmyfriendswho continuallyencourageandmotivatemetokeepworkingthroughthis momentouscircumstance. 10.Alongwithotherswhocontributedtotheresearchupuntilthethesis' completion. Bandung,Desember2023 SalmaYunisaVinandaPutri viii TABLEOFCONTENTS ABSTRACT............................................................................................................ii ABSTRAK.............................................................................................................iii THEGUIDANCEFORUSINGTHETHESIS..................................................v STATEMENTOFAUTHORSHIP....................................................................vii ACKNOWLEDGEMENTS ...............................................................................viii TABLEOFCONTENTS......................................................................................ix LISTOFAPPENDICES......................................................................................xi LISTOFFIGURES.............................................................................................xii LISTOFTABLES..............................................................................................xiii LISTOFABBREVIATIONSANDSYMBOLS..............................................xiv ChapterIIntroduction.......................................................................................1 I.1Background...................................................................................................1 I.2Researchobjectives......................................................................................8 I.3Researchquestions........................................................................................8 I.4Researchapproachandmethods...................................................................9 I.5Keyassumptionsandresearchlimitations..................................................10 I.6Writingstructure.........................................................................................10 ChapterIILiteratureReview..........................................................................12 II.1Introduction...............................................................................................12 II.2Consumers'ValueTowardsHalalProducts...............................................12 II.3ReligiosityasModeratingRoleofHalalProductsConsumption.............16 II.4SpiritualWellbeing(SWB)andConsciousnessforSustainable Consumption(CSC).................................................................................19 II.5ProposedResearch...................................................................................24 II.6Hypotheses................................................................................................29 II.7ChapterSummary......................................................................................33 ChapterIIIResearchMethodology.................................................................36 III.1Introduction..............................................................................................36 III.2Data..........................................................................................................37 III.3ResearchMethod....................................................................................43 III.4ChapterSummary...................................................................................44 ChapterIVResultsandAnalysis....................................................................45 IV.1Introduction..............................................................................................45 IV.2PilotTest..................................................................................................45 IV.3RespondentProfile..................................................................................49 IV.4ValidityandReliabilityTest...................................................................53 ix IV.5ExploratoryFactorAnalysis(EFA).........................................................54 IV.6LinearRegression....................................................................................56 IV.7ModerationAnalysis...............................................................................59 IV.8RegressionAnalysisII.............................................................................60 IV.9Discussion...............................................................................................63 IV.9.1H1.SocialValueonHalalproductsConsciousConsumption................63 IV.9.2H2.SafetyConcernsonHalalProductsConsciousConsumption..........65 IV.9.3H3.EnvironmentalValueonHalalproductsConsciousConsumption..66 IV.9.4H4.EconomicalValueonHalalproductsConsciousConsumption.......67 IV.9.5H5.aReligiousBeliefModerationonSocialValuetowardsHalal ProductsConsciousConsumption...................................................69 IV.9.6H5.bReligiousBeliefModerationonSafetyConcernTowardHalal ProductsConsciousConsumption...................................................70 IV.9.7H5.cReligiousBeliefModerationonEconomicalValuetowardsHalal ProductsConsciousConsumption...................................................72 IV.9.8H5.dReligiousBeliefModerationonEnvironmentalValuetowards HalalProductsConsciousConsumption..........................................75 IV.9.9H6.RelationshipbetweenConsumers’ConsciousBehaviour,on Consumers’SpiritualWellbeing......................................................77 IV.9.10H7.RelationshipbetweenConsumers’ConsciousBehaviour,on Consumers’ConsciousnessforSustainableConsumption..............81 IV.10ChapterSummary...................................................................................83 ChapterVSummaryandConclusion.............................................................85 V.1Introduction...............................................................................................85 V.2MainFindingoftheResearch...................................................................85 V.3AcademicContribution.............................................................................86 V.4PracticalContribution...............................................................................87 V.5LimitationandFutureResearchSuggestion.............................................89 REFERENCES.....................................................................................................91 APPENDICES......................................................................................................96 x LISTOFAPPENDICES AppendixA.RegressionAnalysisofCustomerValuestoCustomerConscious ConsumptionBehaviour........................................................................................97 AppendixB.ModeratorAnalysisofReligiousBelief,CustomerValues,and CustomerConsciousConsumptionBehaviour......................................................98 B1.ModeratorAnalysisofReligiousBelief,SocialValue,and CustomerConsciousConsumptionBehaviour................................98 B2.ModeratorAnalysisofReligiousBelief,SafetyConcern,and CustomerConsciousConsumptionBehaviour................................99 B3.ModeratorAnalysisofReligiousBelief,EnvironmentalValue,and CustomerConsciousConsumptionBehaviour..............................100 B4.ModeratorAnalysisofReligiousBelief,EconomicalValue,and CustomerConsciousConsumptionBehavior................................101 AppendixC.RegressionAnalysisofConsciousConsumptionBehaviourto SpiritualWellbeing...............................................................................................102 AppendixD.RegressionAnalysisofConsciousConsumptionBehaviourto Consumers’ConsciousnessforSustainableConsumption..................................103 AppendixEQuestionnaireResultofRespondentsProfile.................................104 AppendixF.MeasurementPilotTest...................................................................113 AppendixG.QuestionnaireResultofCustomerSocialValue,SafetyConcern, EconomicalValues...............................................................................................116 AppendixH.QuestionnaireResultofEnvironmentalValue,ReligiousBeliefand CustomerConsciousBehaviour...........................................................................119 AppendixI.QuestionnaireResultofSpiritualWellbeing(Personal&Communal Domain)...............................................................................................................122 AppendixJ.QuestionnaireResultofSpiritualWellbeing(Environmental& TranscendentalDomain)......................................................................................125 AppendixK.QuestionnaireResultofSustainableConsumption........................129 xi LISTOFFIGURES FigureII.6.ProposedFramework 33 FigureIV.8.Pathdiagramoftheresearchframework 61 FigureIV.9.Researchframework 63 xii LISTOFTABLES TableII.5.SOTATable 25 TableIV.2.1MeasurementVariables 46 TableIV.31.RespondentBasicInformation 50 TableIV.4.1ValidityandReliabilityTestofeachvariables 53 Table.IV.6.ResultsofLinearRegressionI 56 Table.IV.7.ResultsofModerationAnalysis 59 Table.IV.8.HypothesisTestingSummary 62 xiii LISTOFABBREVIATIONSANDSYMBOLS ABREVIATIONS Name Pageofinitialusage RG Religiosity 25 CC ConsciousConsumption 25 HP HalalProducts 25 SWB                     SpiritualWell-Being 7,8,17andmore CSC                       ConsciousnessforSustainable Consumption 7,8,andmore CCB                     ConsciousConsumptionBehaviour7,8,andmore xiv ChapterIIntroduction Introductiontotheresearchproposaliswrittentogiveapreviewofwhatwillbe discussedinthewholeproposal.Themainbodyoftheintroductionconsistsof sixsub-chapterincludingthebackground,researchobjectives,questions,and assumptions I.1Background Halal,derivedfromArabic(للاح),definesproductsthatarepermissible, acceptable,andallowed.ItreferstolegalorlawfulactionsunderSharialaw (Awanetal.,2015).ItisapartofIslamicteachingsandisbasedonthe conceptofHalalanToyyiban,whichemphasizeswholesomeness,purity, cleanliness,andnourishment.ItencompassesallfacetsofaMuslim'slife, includingdietarypractices,financialservices,tourism,beautyproducts, medications,employment,travel,technology,andtransportationservices. HalalproductsareproductcategoriesthatappeartomeetIslamiclaw requirementsandtohavecompliedwithIslamiclawandareappropriatefor Muslimconsumption.Halalproductsarerequiredtoadheretotheguidelines setdownintheHolyQuranandSunnah,asstatedbyKhanandHaleem (2016).AdherencetoHalalguidelinesensuresthepreservationofIslam's essence,Islamicattitude,life,property,futuregeneration,anddignityand integrity(Talibetal.,2010).