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Publisher DOI: 10.1177/1094428114526928
Title: Common beliefs and reality about PLS : comments on Rönkkö and Evermann (2013)
Language: English
Authors: Henseler, Jörg 
Dijkstra, Theo K. 
Sarstedt, Marko 
Ringle, Christian M.  
Diamantopoulos, Adamantios 
Straub, Detmar W. 
Ketchen, David J. 
Hair, Joseph F. 
Hult, G. Tomas M. 
Calantone, Roger J. 
Keywords: quantitative research; multivariate analysis; structural equation modeling; linear techniques; partial least squares path modeling; composite factor model
Issue Date: Apr-2014
Publisher: Sage Publ.
Source: Organizational Research Methods 2 (17): 182-209 (2014)
Abstract (english): 
This article addresses Ro¨nkko¨ and Evermann’s criticisms of the partial least squares (PLS) approach to structural equation modeling. We contend that the alleged shortcomings of PLS are not due to problems with the technique, but instead to three problems with Ro¨nkko¨ and Evermann’s study: (a) the adherence to the common factor model, (b) a very limited simulation designs, and (c) overstretched generalizations of their findings. Whereas Ro¨nkko¨ and Evermann claim to be dispelling myths about PLS, they have in reality created new myths that we, in turn, debunk. By examining their claims, our article contributes to reestablishing a constructive discussion of the PLS method and its properties. We show that PLS does offer advantages for exploratory research and that it is a viable estimator for composite factor models. This can pose an interesting alternative if the common factor model does not hold. Therefore, we can conclude that PLS should continue to be used as an important statistical tool for management and organizational research, as well as other social science disciplines.
DOI: 10.15480/882.1565
ISSN: 1552-7425
Journal: Organizational Research Methods 
Institute: Personalwirtschaft und Arbeitsorganisation W-9 
Document Type: Article
Permission Note: Dieser Beitrag ist mit Zustimmung des Rechteinhabers aufgrund einer (DFG geförderten) Allianz- bzw. Nationallizenz frei zugänglich. This publication is with permission of the rights owner freely accessible due to an Alliance licence and a national licence (funded by the DFG, German Research Foundation) respectively.
License: CC BY-NC 3.0 (Attribution-NonCommercial) CC BY-NC 3.0 (Attribution-NonCommercial)
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