The performance of consistent partial least squares path modeling in management research: a proactive simulation monte carlo approach

Partial Least Squares Path Modeling (PLS-PM) is a Variance-Based Structural Equation Modeling (VB-SEM) that is widely applied in management and social sciences. Therefore it was promoted as a method of choice for various analysis situation, despite the serious implications of the method has being de...

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Bibliographic Details
Main Author: Wan Mohamad Asyraf Wan Afthanorhan (Author)
Corporate Author: Universiti Sultan Zainal Abidin . Faculty of Business and Management
Format: Thesis Book
Language:English
Subjects:

MARC

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050 0 0 |a HD30.23   |b W36 2017 
090 0 0 |a HD30.23   |b W36 2017 
100 0 |a Wan Mohamad Asyraf Wan Afthanorhan ,   |e author 
245 1 4 |a The performance of consistent partial least squares path modeling in management research: a proactive simulation monte carlo approach   |c Wan Mohamad Asyraf bin Wan Afthanorhan 
264 2 0 |c 2017 
300 |a xiii, 225 leaves :   |b illustrations (some colour) ;   |c 30 cm. 
336 |a text  |2 rdacontent 
337 |a unmediated  |2 rdamedia 
338 |a volume  |2 rdacarrier 
502 |a Thesis (Degree of Doctor of Philosophy) - Universiti Sultan Zainal Abidin, 2017 
504 |a Includes bibliographical references (p. 197-217) 
505 0 |a 1. Introduction -- 2. Review on consistent partial least squares path modeling -- 3. Review on covariance based structural equation modeling -- 4. Fundamental of path analysis -- 5. Methodology of Monte Carlo simulation -- 6. Findings -- 7. Discussion and conclusion 
520 |a Partial Least Squares Path Modeling (PLS-PM) is a Variance-Based Structural Equation Modeling (VB-SEM) that is widely applied in management and social sciences. Therefore it was promoted as a method of choice for various analysis situation, despite the serious implications of the method has being declared in the research method journal since its inception. The current lack of methodological evidences for PLS-PM is adjusted to provide a correction for estimates when PLS is applied to reflective constructs. So, this novel approach called Consistent Partial Least Squares, denoted by Consistent PLS or PLSc, can explains different types of modeling (confirmatory and exploratory). However, the full potential of Consistent PLS is still remain vague due to its lack of methodological justification. This study is aimed to compare the Consistent PLS with established method of Covariance Based Structural Equation Modeling (CB¬SEM) using proactive Monte Carlo approach when all constructs are modeled as common factors. This study could clears up the possible ambiguity regarding the usefulness and appropriateness of Consistent PLS in the confirmatory modeling. A proactive Monte Carlo simulation (N = 50, 100,200 and 500) with different population models such as Theory of Reason Action (TRA), Theory of Customer Loyalty, and Unified Theory of Acceptance and Use of Technology (UTAUT) are analyzed for the simulation purpose. The data are generated from these population models with hypothesized parameter values using mass and psych package of R statistical programming. The mvrnorm package is employed to ensure the distribution of the data to be normal condition. Those population models are now be assessed by two statistical programs such as Analysis Moment of Structures (AMOS version 21.0) for CB-SEM and Advanced of Composite Model (ADANCO version 2.0) for Consistent PLS. The outcome of a Monte Carlo simulation reveals that Consistent PLS does not adjust for other limitations of PLS-PM in confirmatory modeling, namely bias in estimates of regression weight due to capitalization chance; overestimation of convergent validity and composite reliability due to the proportional of factor loadings; overestimation of construct correlations; discriminant validity is less efficient under Fornell & Larcker criterion; low effects of statistical power and squared correlation; and improper solution for small samples. Moreover, the outcomes shows that Consistent PLS has no advantage when using normal distributed data. The Consistent PLS is less efficient than of CB¬SEM when confirmatory modeling is adapted. Therefore, the CB-SEM is still the best method for confirmatory modeling and normal distributed data. Finally, several suggestions are given, primarily to the Consistent PLS for improvements. 
610 2 0 |a Universiti Sultan Zainal Abidin   |x Dissertations 
610 2 0 |a Universiti Sultan Zainal Abidin   |x Faculty of Business and Management   |v Dissertations 
650 0 |a Decision making   |x Mathematical models 
650 0 |a Management   |x Mathematical models 
650 0 |a Statistic 
655 0 |a Dissertations, Academic 
710 2 |a Universiti Sultan Zainal Abidin .   |b Faculty of Business and Management 
999 |a 1000173759   |b Thesis   |c Reference   |e Gong Badak Campus