I'm working with a model with 7 formative measured variables (forming inner model). Each of them have three or four manifest variables measured by 1-7 likert scale. How can I evaluate the model? I used the bootstrap sampling method and got t-values which all are over 2,5. There are no problems. Now I'm wondering if there are any other ways to evaluate the model and fit with formative variables?
Thanks for advance
Formative model evaluation
Formative model evaluation
Hello Joensuu,
I'm experiencing the same. What I can share with you for now, is that according to what I found in the literature the formative model evaluation should be done through:
1. EVALUATION OF THE MEASUREMENT MODEL (INDICATORS)
1.1 Multicollinearity (VIF) - through SPSS Regression. You can regress all VL indicators on the basis of one indicator of the dependent variable of your model. VIF loads below 10 should be expected.
1.2 Significance of the weights (Student's t test) - OK, you've done through bootstrap.
2. EVALUATION OF THE STRUCTURAL MODEL (CONSTRUCTS)
2.1 R2 of endogenous latent variables
2.2 Estimation of the factor weights
(2.1 and 2.2 are both from PLS Algorithm. It´s the same evaluation required for models with reflective indicators)
I hope I have helped and I also hope that someone else can add something.
Regards,
I'm experiencing the same. What I can share with you for now, is that according to what I found in the literature the formative model evaluation should be done through:
1. EVALUATION OF THE MEASUREMENT MODEL (INDICATORS)
1.1 Multicollinearity (VIF) - through SPSS Regression. You can regress all VL indicators on the basis of one indicator of the dependent variable of your model. VIF loads below 10 should be expected.
1.2 Significance of the weights (Student's t test) - OK, you've done through bootstrap.
2. EVALUATION OF THE STRUCTURAL MODEL (CONSTRUCTS)
2.1 R2 of endogenous latent variables
2.2 Estimation of the factor weights
(2.1 and 2.2 are both from PLS Algorithm. It´s the same evaluation required for models with reflective indicators)
I hope I have helped and I also hope that someone else can add something.
Regards,
Cleonir Tumelero
Business School at São Paulo University
Business School at São Paulo University