Analysis the Effect of Product Quality and Price on Purchase Decision (Case Study of Adidas India, Indonesia, and Malaysia)

Exercising can be an activity to maintain human health. Adidas is a company providing sports equipment and accessories with high quality located in more than 100 countries around the world. This research aims to understand and analyze the effect of product quality and price on the purchase decision of Adidas India, Indonesia, and Malaysia. This research uses a quantitative method, which is Ordinary Least Square (OLS) based on the data collected from the questionnaires with 100 respondents. The results of this research show product quality and price partially affect purchase decision, product quality and price simultaneously or collectively affect purchase decision. The contribution proportion of Adidas product quality and price on the customers' purchase decision is 50.1%.


INTRODUCTION
Health is an important part of human life. Exercising can be an activity to maintain human health. Exercise is the most appropriate form of physical activity to any social group. In addition to maintaining physical fitness, exercise also resulted a benefit to human immunity, brain function, reducing stress, and reducing cholesterol (Pane, 2015). Exercise not only limited in one sport, but also there is a wide variety of them such as football, basketball, tennis, volleyball, golf, athletics, hockey, baseball, and other popular sports around the world.
World Health Organization (2020) wrote in late 2019, the World Health Organization (WHO) China authority received a warning notice about a mysterious type of pneumonia and it became the first emergence known as Covid-19 cases. From its emergence, the Covid-19 case continually increased and transmitted globally. Covid-19 is new type of virus that infect human respiratory. Due to the fact this virus has a new strain, a vaccine or cure for the virus has not been found yet. Thus, global authority set any regulation needed for their country in order to minimize the Covid-19 spread, one of the regulations is quarantine. United Nations (2020) wrote the World Health Organization (WHO) encourages people to continue to exercise at least 75-150 minutes individually in order to help to reduce anxiety, fear and boost body immune. It is one of the most important efforts that can prevent the spread of the Covid-19.   Covid-19, such as Lockdown, Self-Quarantine, and others that would have an impact on daily activities routine, not just an awareness of the sport, but also online shopping, cooking, playing games, and others. In sporting terms, in India, according to survey published Statista Research Development (2020), about the activity during the Lockdown, the most popular activity one of them as much as 47% is exercise. In Indonesia, according to survey conducted and published Jakpat (2020), 31% respondents stated that the majority of activity during the self-quarantine is exercising. In Malaysia, according to a survey conducted Vase.ai published by Statista about the consumption during the Movement Control Order (MCO), 52% of respondents stated exercising (Hirschmann, 2020).
Adidas is a company providing sports equipment and accessories with high quality located in more than 100 countries around the world, including India, Indonesia, and Malaysia. In 2019, Adidas successfully produced more than 1.1 billion of product items and created total sales of 23.640 billion Euro. These numbers will simply recommend that Adidas is sort of a large and additionally multifarious organization. However, they keep things easy, lean and quick, so that they can use this approach currently to convey an outline of what our company is all about. The Chief Executive Officer (CEO) of Adidas Company, Kasper Rorsted, sets the mission of his company which is "to be the best sports company in the world". The purpose is to make Adidas have the power to change lives through sports. He planned to create the new strategic, which are speed, cities and open source. These three cores guide the way they run the company, how they work with partners, how they create products and how they deal with their consumers. So far, Adidas company have 7 key location which from Herzogenaurach Global Headquarters, Amsterdam, Portland, Boston, Shanghai, Hong Kong and Panama (Adidas, n.d.) Adidas has produced over 1.1 billion units which from 448 million pairs of footwear, 528 million pieces of apparel and 127 million pieces of hardware. Adidas have an important mission to do, therefore, they must focus to their products or authentic sports brands so that the consumers will be interested to purchase the products. Adidas has been one the most excellent brands that offer various types of sports products especially sport shoes. Adidas goal is to create a high quality and sustainable products while maintaining the latest styles and trends. Adi Dassler, the founder of Adidas stated that the main intention is to keep athletes in a good condition. That is why, the materials and production play an important role to keep environment sustainability. Adidas has been producing various products that put the safety upon consumers. Adidas is known for sustainability products such as parley for the ocean, this partnership with environment organization support for non-plastic materials for the sustainability of the ocean. Adidas products have all various products made from sustainable materials and safe from harm and pollution. According to Schiffman and Kanuk (2007), product quality is the ability of company to put identity or characteristics to its products so the customer can distinguish it. According to Tjiptono and Chandra (2005), there are eight dimensions of product quality, which are: 1. Performance, is the main function of the product and is the primary characteristic that will be considered by the customer in purchasing a product. 2. Features, is the additional function to complement the benefit of a product and is objectively measured by the customer individually. 3. Reliability, is the product opportunity or possibility to successfully perform its function within a certain period. 4. Conformance to specifications, is the product compatibility level to the predetermined specifications based on the customers' preference. 5. Durability, is the economic and technical endurance measurement of a product. 6. Serviceability, is the rapidity, competency, utility, and easiness of the products for the service. 7. Aesthetic, is the subjective characteristics related to the aesthetics value of the individual preference. Aesthetic is related to the product's appearance, taste, scent, and other elements that can make the customer like the product. 8. Perceived Quality, is the customers' appraisal of the products' image, brand, or advertisement.
In 2019, Adidas managed to produce more than 1.1 billion items of products and generate sales by 23.640 billion Euros. This figure shows Adidas development grow. Regardless of the number of developments, Adidas encounter a shortage in the supply chain because of the high demand for the medium quality clothes. According to the statistical data published by Statista about the global revenue from 2006 to 2019, Nike global revenue higher than Adidas and Puma (Shahbandeh, 2020) According to Kotler and Amstrong (2008), price is a specific value charged to a product or service given by the customer to get the benefits of using the product or service. The price can be the determiner for market demand. According to Stanton (1998), there are several price indicators, such as: 1. Price affordability, is a price-fixing conducted by company based on the customers' affordability 2. The price suitability to the product quality, is a price-fixing conducted by company by adjusting the product quality received by the customer. 3. Price competitiveness, is price-offering conducted by a company is different and compete with other company for a similar variety of product. 4. The price suitability to the product's benefit, is a price-fixing conducted by a company that worth the product's benefit received by the customer through the products they consume.
During the Covid-19 pandemic, Adidas face an unprecedented challenge as the impact from global population routine to exercise. The main impact is international coronavirus pandemic causes the closure of over seventy of Adidas' stores. It had driven the decrease of income. Together with their operative loss virtually 333 million monetary unit, 250 million monetary unit from that loss were associated with coronavirus pandemic. Thus, the corporate sales decrease and established the inventory value and debt of impairment the retail stores in total 250 million monetary unit. Kasper Rosted, corporate executive of Adidas mentioned that recovery can continue in Q, due to the fact that there is still client demand for Adidas products.
According to Kotler and Amstrong (2008), a purchase decision is someone's attitude to buy or use a product, either a good or a service, which is confirmed to be able to satisfy themselves and also their willingness to take the risk that may occur. According to Kotler and Keller (2009), there are five steps during the purchase decision making process, such as: 1. Problem identification, the buying process starts when the customer identifies a problem or necessity. 2. Information searching, it begins when the customer recognizes that they can fulfill their needs by buying or consuming a particular product. 3. Alternative evaluation, the customer begins to evaluate choices of product and brand they have, as well as choose the one that accommodates their needs. 4. Purchase decisions, is a buying decision when the customer decided to purchase the products. The customer can create a buying intention, such as brand decision, product benefits, price-fixing, and more. 5. Post-purchase behavior, the customer will experience a particular level of satisfaction or dissatisfaction.
Therefore, this research aimed to understand and analyze whether the product quality and price offered by Adidas affected the Adidas customers' purchase decision in India, Indonesia, and Malaysia. The research results allow Adidas to obtain information to improve their product quality and determine the price-fixing decision to adjust the market price. It can help them to re-attract people in purchasing their products as well as increase their revenue again.

Research Design
This research used a quantitative method focused on checking the accuracy and hypothesis as proof. It is a correlational research or used to explain the correlation of the variables. This research used primary and secondary data. Primary data is data obtained from the first party or directly from the researcher, related to the intention variable for a specific purpose of study contained a certain information (Sekaran, 2006). In this research, the primary data obtained from the respondents through the questionnaire. On the other hand, secondary data is the data obtained from the company's notes or documentation related to the information available in various sources and can be publicly accessed (Sekaran, 2006). In this research, the secondary data consists of the Adidas company profile and additional data, such as literature, books, and scientific journals.

The Data Collection Technique
The data collection technique used in this research is through the questionnaire by giving out questions or statements related to the study or research and given to the respondents. The respondents can give out their answers based on the Likert's measurement scale.
There are five answer categories on the Likert Scale, which are one point for Strongly Disagree, two points for Disagree, three points for Neutral, four points for Agree, and five points for Strongly Agree.

Sample and Population
A population is the entire research subject (Arikunto, 2005). In this research, the population is the customers of Adidas products in India, Indonesia, and Malaysia. Meanwhile, a sample is the portion of a population (Sekaran & Bougie, 2013). The sampling technique used in this research is Non-Probability Sampling, specifically Purposive Sampling, where the customers have purchased Adidas sports equipment and accessory in India, Indonesia, and Malaysia. This research also used Convenience Sampling technique based on the immediateness and spontaneity factor, where the customers can be found anywhere. To determine the sample size, according to Frankel and Wallen (1993), the minimum total sample in correlational research should be 50 respondents. However, this research used Wibisono's formula due to the number of populations is unknown.
= The Z value is 95% confidence level, which is 1.96 σ = Population standard deviation (sample estimation with 0.5 representation, which is 0.25) e = 5 percent error level, which is 0.05 ( ) Therefore, the total sample for this research is 100 respondents.

Validity and Reliability Test.
A Validity Test is a test to find out the questionnaire's validity or relevance. A Reliability Test is a test used to find out the consistency level of a questionnaire.

Classic Assumption Test.
a. Multicollinearity Test is a test to understand whether there is any correlation between the independent variables within the regression model. b. Heteroscedasticity Test is a test to identify whether the regression model's residual value of one research and another caused the variation error. c. Autocorrelation Test is a test to understand whether there is any correlation between the residual in the t-1 period (or the previous period) and the t period (or today's period) within the regression model. d. Normality Test is a test to understand whether the data can be categorized as well-distributed or not. e. Linearity Test is a test to understand whether there is any significant linear correlation between the two variables.

Regression Model Feasibility Test a. F-Test or Simultaneous
Test is a test to identify whether the regression model estimated is proper or not. b. T-Test or Partial Test is a test to find out whether the considered parameter (regression coefficient and constant) to estimate the regression model is the correct parameter or not. c. Coefficient Determination explains the variety of effects of the independent variable on the bound variable.

Characteristics of the Respondents
The respondents of this research are customers who have purchased Adidas products, which are sports equipment and accessories, located in India, Indonesia, and Malaysia. The characteristics of the respondents, according to 100 respondents of the questionnaire, can be classified based on gender and nationality. The characteristics of the respondents' results based on gender shows that customers who have purchased Adidas products are 60% male and 40% female. The characteristics of the respondents' result based on nationality shows customers who have purchased Adidas products are 8% Indian, 39% Indonesian, and 53% Malaysian. Therefore, it shows that the majority of respondents are male and located in Malaysia.

Analysis of Multiple Linear Regression
The analysis used in this research is Multiple Linear Regression or Ordinary Least Square (OLS), using Statistical Product and Service Solution (SPSS) version 20.0 software program. In this research, the questionnaire item statements are changed by using certain labels representing the questionnaire items.

No. Statement Label A. Product Quality
1.
Adidas products are comfortable to use PQ1 2.
Adidas products have high-quality materials PQ3 4.
Adidas products are functional and suitable to use in all kind of sports PQ4

5.
Adidas products have a low risk of damage and are durable PQ5 6.
Adidas products quickly meet the needs PQ6

7.
Adidas products always create innovation by focusing on the products' details, such as design, materials, stitches, colors, etc.

PQ7
8. I think Adidas has high-quality products PQ8 B. Price 1.
The price of Adidas products is affordable P1 2.
The price of Adidas products is worth the products' quality P2 3.
The price of Adidas products can compete with the products from other brands

Cronbach's Alpha N of Items
.903 17 From the table above, the total samples or the analyzed respondents are 100 people, and the data are entirely filled. It also can be seen that Cronbach's Alpha value is 0.903, or more than 0.60, indicating the questionnaire is reliable or consistent. According to the distribution of F-table, 5% significance for df-numerator of 9 and 15 and df-denominator of 83 and 89 is 1.79. Based on the table above, the value of Deviation from Linearity Sig. for the Product Quality variable is 0.466 or more than 0.05, and the calculated-F value is 0.977 or less than the F-table. Also, the Deviation from Linearity Sig. value for the Price variable is 0.377 or more than 0.05, and the F-calculated value is 1.092 or less than the F-table. It can be concluded that there is a significant linear correlation among the Product Quality, Price variables and the Purchase Decision variable.

Discussion
On the Linearity Test results between the Product Quality variable to the Purchase Decision variable, the Deviation from Linearity Sig. value is 0.466, the calculated-F value is 0.977, and the T-Test result has Sig. or Significance value of 0.000. It indicates that Adidas product quality affecting the customers' purchase decision positively and significantly. Based on the Coefficient of Determination that shows the connection with a positive value, it shows that the better Adidas product quality, the more the customer are allowed to create a purchase decision. A predominant factor on purchase decision of sporting goods is the product quality (Pillai et al., 2015) On the Linearity Test results between the Price variable to the Purchase Decision variable, the Deviation from Linearity Sig. value is 0.377, the calculated-F value is 1.092, and the T-Test result has Sig. or Significance value of 0.007. It indicates that the price of Adidas product affecting customers' purchase decision positively and significantly. Based on the Coefficient of Determination that shows the connection with a positive value, it shows that the better Adidas products' price is, the more it allows customers to create purchase decisions. If customer believe that the price of a product is reasonable, it is possible for them to purchase the product (Mukaromah et al., 2019) On the F-Test results between Product Quality and Price variables to the Purchase Decision variable, the Sig. or Significance value of 0.000 indicates that Adidas product quality and price are simultaneously or collectively affecting the customers' purchase decision. This research result supports the previous research conducted by Nurdiansyah (2017), Atikah (2018), and Ivantan (2020). The contribution proportion of the Product Quality variable and the Price variable to the Purchase Decision variable of 50.1% and 49.9% are affected by other variables. Based on the Determination of Coefficient with negative value constant, it shows that if there is no product quality and price for Adidas product, it will not provide the opportunity for the customer, and there will be no customer purchase decision.
This research result supports the purchase decision theory by Kotler and Keller (2009) that on the purchasing decision-making process, the customer will create purchasing intention, also based on the product quality and price-fixing, to actually buy the product.
In the Product Quality variable, this research found that the statements "Adidas products are comfortable to use" and "Adidas products always create innovation by focusing on the products' details, such as design, materials, stitches, colors, etc." has the lowest Pearson Correlation value. This value should be highlighted, because it means Adidas needs to improve their product quality, especially in comfort and innovation aspects. The homework played by business people is to create comfortable and trendy product (Nurhayati, 2020). In the Price variable, this research found that the statement "The price of Adidas products is affordable" has the lowest Pearson Correlation value. Adidas can give more attention to the price-fixing decision to adjust the market price. However, this research also found that the statement, "The price I pay for purchasing Adidas product is worth the benefit I get" has the highest Pearson Correlation value. It shows that in deciding more expensive product price, it should be followed with better product quality. An illustration of product quality is indicated by the price (Mukaromah et al., 2019).

CONCLUSIONS
Based on the analysis result and discussion, there are several conclusions: 1. Product quality affects Adidas customers' purchase decisions in India, Indonesia, and Malaysia. 2. Price affects Adidas customers' purchase decisions in India, Indonesia, and Malaysia. 3. Product quality and price simultaneously or collectively affect Adidas customers' purchase decisions in India, Indonesia, and Malaysia.
The analysis result and discussion also show that the contribution proportion of Adidas product quality and price on the customers' purchasing decision is 50.1%. In other words, Adidas product quality and price are the most considered factors by the customers in purchasing the product.
Suggestion: 1. Suggestion for Adidas in improving their product quality, especially in comfort and innovation aspects, Adidas can improve the materials used, such as the sole, to make their products more comfortable to use while exercising to support the products' performance, and make sure in deciding more expensive product price followed by the better product quality. 2. In addition to committing to give high-quality sports equipment and accessories, Adidas should adjust the customers' needs and wishes, as customers' purpose of buying Adidas products is to buy fashion item and also follow the latest trend and style. Therefore, Adidas can compete with its competitors. Adidas also need to collaborate with local public figures to win the competition in their market around the world, including India, Indonesia, and Malaysia. It is similar to Adidas' strategy when it entered the American market by approaching the American cultural history which based on hip-hop and underground music by collaborating with several public figures, such as Kanye West in creating Yeezy Boost and Pharrel Williams in creating Adidas Superstar 'Supershell'. This strategy has proven to enhance the Adidas' reputation. In an effort to strengthen the world of sports by providing quality sports equipment and accessories, Adidas can collaborate with sports teams that are currently the most popular around the world, according to Statista in the Most Valuable Sport Teams Worldwide in 2020 category such as the Dallas Cowboys, New York Yankees, Real Madrid, FC Barcelona, and others (Gough, 2020) 3. Based on data, during the Covid-19 pandemic or Lockdown in India, Self-Quarantine in Indonesia, Movement Control Order (MCO) in Malaysia, daily routines are carried out not only for sports, but also shopping online, playing games, playing media social, and others. It can be concluded that most of the world's population is more active in the digital world. To be able to attract consumer interest back in purchasing Adidas products and increase Adidas revenue, Adidas must be able to carry out a more aggressive online strategy, including through the websites of each of its markets.