I got the following statement from a reviewer of my article regarding use of a formative constructs of "manager performance" as dependent variable in my model. what do you suggest in response?
I have a problem with using formative constructs as dependent variables. By definition a formative construct is determined by the formative indicators. How can another construct (such as self-efficacy) then influence this formative construct that is determined by its indicators? See Cadogan/Lee (2013). Improper use of endogenous formative variables. Journal of Business Research, 66(2): 233-241. I suggest testing the influence of self-efficacy on the performance indicators separately. I know that many previous studies have used formative constructs as endogenous constructs, but this is problematic.
formative constructs as endogenous constructs, problematic?
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Re: formative constructs as endogenous constructs, problemat
Not for now! Why do not you use the new approach provided?
http://www.sciencedirect.com/science/ar ... 1614000275
http://www.sciencedirect.com/science/ar ... 1614000275