Dear Concern,
I need help regarding second order analysis. Research model is attached.
Capture1.JPG (42.2 KiB) Viewed 4599 times
Whereas moderating variable "Trust" also include 4 variables that is "Integrity, Competence, Predictability & Benevolence"
Please guide me how do i calculate all 4 sub-variables of trust so that i get one value of R-Square of trust?
I have tried to connect it separately, but by this way, i'm getting individual R-Square values of all 4 sub-values rather as one.. as attached below.
Model.jpg (254.26 KiB) Viewed 4599 times
I have also tried of joint 4 variables together but getting mostly incident values below 0.7 or 70%. Please guide me how to calculate this model.
You could either use the repeated indicator approach or the two-stage approach to form a second-order construct Trust out of the four sub-dimensions.
You can find further information on second-order constructs in these publications:
Becker, J.-M., K. Klein, and M. Wetzels (2012). Formative Hierarchical Latent Variable Models in PLS-SEM: Recommendations and Guidelines, Long Range Planning, 45 (5/6), 359-394.
Kuppelwieser, V., and M. Sarstedt (2014). Applying the Future Time Perspective Scale to Advertising Research, International Journal of Advertising, 33(1), 113-136.
Ringle, C. M., M. Sarstedt, and D. W. Straub (2012). A Critical Look at the Use of PLS-SEM in MIS Quarterly, MIS Quarterly, 36 (1), iii-xiv.
However, you should really ask yourself if you need such an approach or if the model that you currently have is not much more informative because you can see the effect of your predictors through each sub-dimension of trust on your final DV.
Dear Dr. Jan-Michael Becker,
Thanks for your valued and informative feedback. I am at the initial stage of research, and therefore selecting approaches is quite harder for me. As according to your given citation, they have mention four types of model approaches. as pasted below
PLS SEM MODEL.JPG (103.92 KiB) Viewed 4559 times
Please guide me which type of approach is appropriate for analyses the research model?