How to Test Second Order/HCM in SmartPLS

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donnadba
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How to Test Second Order/HCM in SmartPLS

Post by donnadba » Tue Jan 24, 2017 6:08 pm

My model is reflective, reflective. There's a "connecting" construct in the middle which is red, as it has no indicators. How is this type of model tested in SmartPLS? I can't seem to find a "how to." Thanks for any insight you can provide.

jmbecker
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Re: How to Test Second Order/HCM in SmartPLS

Post by jmbecker » Wed Jan 25, 2017 8:59 am

There exist a vast literature on second-order constructs in PLS.
One way of modelling them is with the repeated-indicator approach (which is recommendet in your case reflective/reflective) other popular approaches include the two-stage approach often used for formative type models.
Dr. Jan-Michael Becker, University of Cologne, SmartPLS Developer
Researchgate: https://www.researchgate.net/profile/Ja ... v=hdr_xprf
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donnadba
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Re: How to Test Second Order/HCM in SmartPLS

Post by donnadba » Wed Jan 25, 2017 1:44 pm

In terms of "how to" with SmartPLS, I found a YouTube video from 2012. Is there anything more recent I can use as a guide? I found the literature and appreciate your response. Thanks.

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Hengkov
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Re: How to Test Second Order/HCM in SmartPLS

Post by Hengkov » Sun Mar 19, 2017 7:54 am

Maybe you need to read the latest books and journals in the PLS literature.

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cringle
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Re: How to Test Second Order/HCM in SmartPLS

Post by cringle » Sun Mar 19, 2017 11:03 am

The new book on PLS-SEM includes a chapter on higher-order models (available early My 2017):

Hair, J. F., Sarstedt, M., Ringle, C. M., & Gudergan, S. P. 2018. Advanced Issues in Partial Least Squares Structural Equation Modeling (PLS-SEM). Thousand Oaks, CA: Sage.

Best
Christian

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katarina86
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Re: How to Test Second Order/HCM in SmartPLS

Post by katarina86 » Thu Feb 21, 2019 11:16 am

Hi everyone! I read the book Advanced Issues in PLS-SEM and it's great! I learned a lot of new things! However, I have some questions regarding HCMs that I couldn't find the answer on.

I have a model that has two HOCs, that are both reflective-formative: Market orientation (MO), that consists of 3 reflective LOCs, and export performance(EP) that consists of two LOCs. I also have 3 first order constructs in the model, and I want to check if MO affects EP indirectly through competitive advantage (it is a first order construct).

My questions are:
Which is the best approach to use in this situation- repeated indicator or two-stage?
How to calculate the indirect effect MO->CompetitiveAdv->EP when I use repeated indicator approach? In the section "Specific Indirect Effects" this effect is not statistically significant, but the effects MO->CompAdv->StratEP and MO->CompAdv->EconEP are both significant. Also, when I use repeated indicator, I don't know how to calculate R2 for HOCs.
When I use two-stage approach: I'm not sure how should I model first-order constructs on the second stage. Should I use latent variable scores as indicators for the first-order constructs on the second stage, or should I use again all the indicators that I used in the first stage. I'm also not sure when to do the analysis of unobserved heterogeneity- on the first or on the second stage?

Thank you for the answers,
Katarina

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