Modeling Reflective Higher-Order Constructs using Three Approaches with PLS Path Modeling: A Monte Carlo Comparison

Bradley Wilson, Jörg Henseler

    Research output: Chapter in Book/Report/Conference proceedingChapter

    Abstract

    Many studies in the social sciences are increasingly modeling higher-order constructs. PLS can be used to investigate models at a higher level of abstraction (Lohmöller, 1989). It is often chosen due to its’ ability to estimate complex models (Chin, 1998). The primary goal of this paper is to demonstrate the relative robustness of various item and construct characteristics on the reproduction of parameter true scores when utilising the two-stage, hierarchical components indicators (repeated indicators) and a newer hybrid technique (where indicators are not repeated). Our Monte Carlo study mirrors a simple substantive branding example. We vary pertinent dimensions such as: sample size, differing item reliabilities and inner weighting schemes. Our contribution is twofold. Firstly, we provide an overview of the approaches to model reflective second-order constructs with PLS. Secondly, based on our simulation, we provide suggestions when to use each approach.
    LanguageUndefined
    Title of host publicationConference proceedings ANZMAC 2007
    EditorsMaree Thyne, Kenneth R. Deans
    PublisherANZMAC
    Pages791-800
    StatePublished - 2007

    Publication series

    Name
    PublisherANZMAC

    Keywords

    • IR-91758

    Cite this

    Wilson, B., & Henseler, J. (2007). Modeling Reflective Higher-Order Constructs using Three Approaches with PLS Path Modeling: A Monte Carlo Comparison. In M. Thyne, & K. R. Deans (Eds.), Conference proceedings ANZMAC 2007 (pp. 791-800). ANZMAC.
    Wilson, Bradley ; Henseler, Jörg. / Modeling Reflective Higher-Order Constructs using Three Approaches with PLS Path Modeling: A Monte Carlo Comparison. Conference proceedings ANZMAC 2007. editor / Maree Thyne ; Kenneth R. Deans. ANZMAC, 2007. pp. 791-800
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    author = "Bradley Wilson and J{\"o}rg Henseler",
    year = "2007",
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    Wilson, B & Henseler, J 2007, Modeling Reflective Higher-Order Constructs using Three Approaches with PLS Path Modeling: A Monte Carlo Comparison. in M Thyne & KR Deans (eds), Conference proceedings ANZMAC 2007. ANZMAC, pp. 791-800.

    Modeling Reflective Higher-Order Constructs using Three Approaches with PLS Path Modeling: A Monte Carlo Comparison. / Wilson, Bradley; Henseler, Jörg.

    Conference proceedings ANZMAC 2007. ed. / Maree Thyne; Kenneth R. Deans. ANZMAC, 2007. p. 791-800.

    Research output: Chapter in Book/Report/Conference proceedingChapter

    TY - CHAP

    T1 - Modeling Reflective Higher-Order Constructs using Three Approaches with PLS Path Modeling: A Monte Carlo Comparison

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    AU - Henseler,Jörg

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    N2 - Many studies in the social sciences are increasingly modeling higher-order constructs. PLS can be used to investigate models at a higher level of abstraction (Lohmöller, 1989). It is often chosen due to its’ ability to estimate complex models (Chin, 1998). The primary goal of this paper is to demonstrate the relative robustness of various item and construct characteristics on the reproduction of parameter true scores when utilising the two-stage, hierarchical components indicators (repeated indicators) and a newer hybrid technique (where indicators are not repeated). Our Monte Carlo study mirrors a simple substantive branding example. We vary pertinent dimensions such as: sample size, differing item reliabilities and inner weighting schemes. Our contribution is twofold. Firstly, we provide an overview of the approaches to model reflective second-order constructs with PLS. Secondly, based on our simulation, we provide suggestions when to use each approach.

    AB - Many studies in the social sciences are increasingly modeling higher-order constructs. PLS can be used to investigate models at a higher level of abstraction (Lohmöller, 1989). It is often chosen due to its’ ability to estimate complex models (Chin, 1998). The primary goal of this paper is to demonstrate the relative robustness of various item and construct characteristics on the reproduction of parameter true scores when utilising the two-stage, hierarchical components indicators (repeated indicators) and a newer hybrid technique (where indicators are not repeated). Our Monte Carlo study mirrors a simple substantive branding example. We vary pertinent dimensions such as: sample size, differing item reliabilities and inner weighting schemes. Our contribution is twofold. Firstly, we provide an overview of the approaches to model reflective second-order constructs with PLS. Secondly, based on our simulation, we provide suggestions when to use each approach.

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    Wilson B, Henseler J. Modeling Reflective Higher-Order Constructs using Three Approaches with PLS Path Modeling: A Monte Carlo Comparison. In Thyne M, Deans KR, editors, Conference proceedings ANZMAC 2007. ANZMAC. 2007. p. 791-800.