Background: Virtual reality (VR) offers significant potential for hands-on learning environments by providing immersive and visually stimulating experiences. Interacting with such environments can bring numerous benefits to learning, including enhanced engagement, knowledge construction, and higher-order thinking. However, many current VR studies in hands-on learning tend to utilise one-way learning materials, limiting participants' ability to interact with and reflect on their actions and learning experiences. Moreover, these studies often neglect to assess learners' capacity to transfer their skills from VR learning to real-world scenarios. Therefore, this study aims to investigate participants' engagement, learning outcomes, higher-order thinking, and their ability to apply acquired skills in real-world contexts. Method and Objective: Participants were immersed in a hands-on learning environment in VR, where they received feedback and engaged in reflection during the learning process. This study recruited 68 university students to participate in the experiment, employing a quasi-experimental design. Participants experienced learning units both with and without reflection on the feedback. The theme of these learning units was related to embedded systems, encompassing topics such as the assembly of embedded components and Python programming. The investigation aimed to assess whether reflection in VR could enhance cognitive levels, engagement, real-world hands-on tasks abilities, and higher-order thinking. Results: The research results indicate that in the VR hands-on learning environment, participants engage in reflection through the provided feedback, effectively enhancing their engagement, cognitive levels, and hands-on task abilities. Simultaneously, it also successfully assists participants in developing problem-solving skills and critical thinking in higher-order thinking. Conclusions: Participants actively engaged in reflection on their own learning tasks and actions within the hands-on learning environment, enabling them to develop a deeper understanding of the learning material and enhance their real-world hands-on tasks abilities, we encourage the integration of reflection strategies in VR learning environments for hands-on learning, as they can yield positive benefits for learners.