The Impact of Value Chains on Apparel Industry in Sri Lanka

Abstract

Apparel is one of the oldest and largest export industries in the world. The Apparel Industry of Sri Lanka has faced many ups and downs throughout its carrier due to many trade barriers and other inefficiencies. This study is conducted to find a way of regaining the lost position in the International Apparel market which was dominated by our local apparel industry. The main Objective of this study is to investigate the Impact of the Value Chains on the Apparel Industry. In previous studiesKokemuler has stated that when a closer look is given to the primary activities of the value chain, Inbound Logistics is one variable that influence customer satisfaction. (Kokemuller, 2013). Ingram has also stated that Understanding the differences and correlation between inbound and outbound logistics can provide insight for developing a comprehensive supply-chain management strategy (Ingram, 2009). In this research, the sustainability of apparel industry and customer satisfaction are the Dependent Variables whereas Inbound and Outbound Logistics activities are considered as Independent Variables. The study was based on Primary data collected through questionnaires from 30 firms selected out of the total population of apparel firms in the Colombo District. Collected data was analyzed using SPSS software (Version 22) The Sample Adequacy of the current study is 0.648. Reliability of variables according to cronbach’s alpha is 0.741.The R square value of the study is 0.702. Validity of data was measured using the expert validity test using the supervisor. The Co-relation, Co-efficient, and significance is measured using 95% of confidence interest. As for the research findings, the researcher identified that there is Positive relationship between Value Chain activities and Customer Satisfaction which ultimately leads to Sustainable development.