IDEAS home Printed from https://ideas.repec.org/a/sae/toueco/v26y2020i4p531-554.html
   My bibliography  Save this article

Structural model robustness checks in PLS-SEM

Author

Listed:
  • Marko Sarstedt

    (Otto-von-Guericke University Magdeburg, Germany; Monash University Malaysia, Malaysia)

  • Christian M Ringle

    (Hamburg University of Technology (TUHH), Germany; University of Waikato, New Zealand)

  • Jun-Hwa Cheah

    (Universiti Putra Malaysia, Malaysia)

  • Hiram Ting

    (UCSI University, Malaysia)

  • Ovidiu I Moisescu

    (Babes-Bolyai University, Romania)

  • Lacramioara Radomir

    (Babes-Bolyai University, Romania)

Abstract

Partial least squares structural equation modeling (PLS-SEM) has become a standard tool for analyzing complex inter-relationships between observed and latent variables in tourism and numerous other fields of scientific inquiry. Along with the recent surge in the method’s use, research has contributed several complementary methods for assessing the robustness of PLS-SEM results. Although these improvements are documented in extant literature, research on tourism has been slow to adopt the relevant complementary methods. This article illustrates the use of recent advances in PLS-SEM, designed to ensure structural model results’ robustness in terms of nonlinear effects, endogeneity, and unobserved heterogeneity in a PLS-SEM framework. Our overarching aim is to encourage the routine use of these complementary methods to increase methodological rigor in the field.

Suggested Citation

  • Marko Sarstedt & Christian M Ringle & Jun-Hwa Cheah & Hiram Ting & Ovidiu I Moisescu & Lacramioara Radomir, 2020. "Structural model robustness checks in PLS-SEM," Tourism Economics, , vol. 26(4), pages 531-554, June.
    • Handle: RePEc:sae:toueco:v:26:y:2020:i:4:p:531-554
    DOI: 10.1177/1354816618823921
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/1354816618823921
    Download Restriction: no
    File URL: https://libkey.io/10.1177/1354816618823921?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Ringle, Christian M. & Sarstedt, Marko & Schlittgen, Rainer & Taylor, Charles R., 2013. "PLS path modeling and evolutionary segmentation," Journal of Business Research, Elsevier, vol. 66(9), pages 1318-1324.
    2. Amaro, Suzanne & Duarte, Paulo, 2015. "An integrative model of consumers' intentions to purchase travel online," Tourism Management, Elsevier, vol. 46(C), pages 64-79.
    3. Lee, Lorraine & Petter, Stacie & Fayard, Dutch & Robinson, Shani, 2011. "On the use of partial least squares path modeling in accounting research," International Journal of Accounting Information Systems, Elsevier, vol. 12(4), pages 305-328.
    4. Florian Schuberth & Jörg Henseler & Theo K. Dijkstra, 2018. "Partial least squares path modeling using ordinal categorical indicators," Quality & Quantity: International Journal of Methodology, Springer, vol. 52(1), pages 9-35, January.
    5. Maria Fuentes-Blasco & Beatriz Moliner-Velázquez & Irene Gil-Saura, 2017. "Latent segmentation in business-to-business based on information and communication technology and relationship variables," Tourism Economics, , vol. 23(2), pages 460-468, March.
    6. Mortazavi, Reza, 2018. "Research note: Endogeneity of satisfaction as a predictor for spending," Annals of Tourism Research, Elsevier, vol. 72(C), pages 168-171.
    7. Erik Mooi & Marko Sarstedt & Irma Mooi-Reci, 2018. "The Market Research Process," Springer Texts in Business and Economics, in: Market Research, chapter 2, pages 11-25, Springer.
    8. Nitzl, Christian, 2016. "The use of partial least squares structural equation modelling (PLS-SEM) in management accounting research: Directions for future theory development," Journal of Accounting Literature, Elsevier, vol. 37(C), pages 19-35.
    9. Lu, Xun & White, Halbert, 2014. "Robustness checks and robustness tests in applied economics," Journal of Econometrics, Elsevier, vol. 178(P1), pages 194-206.
    10. Alegre, Joaquín & Mateo, Sara & Pou, Llorenç, 2011. "A latent class approach to tourists’ length of stay," Tourism Management, Elsevier, vol. 32(3), pages 555-563.
    11. Jose Benitez & Gautam Ray & Jörg Henseler, 2018. "Impact of Information Technology Infrastructure Flexibility on Mergers and Acquisitions," Post-Print hal-01998000, HAL.
    12. Marko Sarstedt & Christian Ringle, 2010. "Treating unobserved heterogeneity in PLS path modeling: a comparison of FIMIX-PLS with different data analysis strategies," Journal of Applied Statistics, Taylor & Francis Journals, vol. 37(8), pages 1299-1318.
    13. Carsten Hahn & Michael D. Johnson & Andreas Herrmann & Frank Huber, 2002. "Capturing Customer Heterogeneity Using A Finite Mixture Pls Approach," Schmalenbach Business Review (sbr), LMU Munich School of Management, vol. 54(3), pages 243-269, July.
    14. Hamparsum Bozdogan, 1987. "Model selection and Akaike's Information Criterion (AIC): The general theory and its analytical extensions," Psychometrika, Springer;The Psychometric Society, vol. 52(3), pages 345-370, September.
    15. Marko Sarstedt & Erik Mooi, 2019. "A Concise Guide to Market Research," Springer Texts in Business and Economics, Springer, edition 3, number 978-3-662-56707-4, June.
    16. Marques, Catarina & Reis, Elizabeth, 2015. "How to deal with heterogeneity among tourism constructs?," Annals of Tourism Research, Elsevier, vol. 52(C), pages 172-174.
    17. Cepeda Carrión, Gabriel & Henseler, Jörg & Ringle, Christian M. & Roldán, José Luis, 2016. "Prediction-oriented modeling in business research by means of PLS path modeling: Introduction to a JBR special section," Journal of Business Research, Elsevier, vol. 69(10), pages 4545-4551.
    18. Teo, Thompson S. H. & Yeong, Yon Ding, 2003. "Assessing the consumer decision process in the digital marketplace," Omega, Elsevier, vol. 31(5), pages 349-363, October.
    19. Evermann, Joerg & Tate, Mary, 2016. "Assessing the predictive performance of structural equation model estimators," Journal of Business Research, Elsevier, vol. 69(10), pages 4565-4582.
    20. Fuller, Christie M. & Simmering, Marcia J. & Atinc, Guclu & Atinc, Yasemin & Babin, Barry J., 2016. "Common methods variance detection in business research," Journal of Business Research, Elsevier, vol. 69(8), pages 3192-3198.
    21. Venkatram Ramaswamy & Wayne S. Desarbo & David J. Reibstein & William T. Robinson, 1993. "An Empirical Pooling Approach for Estimating Marketing Mix Elasticities with PIMS Data," Marketing Science, INFORMS, vol. 12(1), pages 103-124.
    22. Gudergan, Siegfried P. & Ringle, Christian M. & Wende, Sven & Will, Alexander, 2008. "Confirmatory tetrad analysis in PLS path modeling," Journal of Business Research, Elsevier, vol. 61(12), pages 1238-1249, December.
    23. Karl Widerquist, 2018. "The Bottom Line," Exploring the Basic Income Guarantee, in: A Critical Analysis of Basic Income Experiments for Researchers, Policymakers, and Citizens, chapter 0, pages 93-98, Palgrave Macmillan.
    24. Sungho Park & Sachin Gupta, 2012. "Handling Endogenous Regressors by Joint Estimation Using Copulas," Marketing Science, INFORMS, vol. 31(4), pages 567-586, July.
    25. Shmueli, Galit & Ray, Soumya & Velasquez Estrada, Juan Manuel & Chatla, Suneel Babu, 2016. "The elephant in the room: Predictive performance of PLS models," Journal of Business Research, Elsevier, vol. 69(10), pages 4552-4564.
    26. Kim, Myung-Ja & Chung, Namho & Lee, Choong-Ki, 2011. "The effect of perceived trust on electronic commerce: Shopping online for tourism products and services in South Korea," Tourism Management, Elsevier, vol. 32(2), pages 256-265.
    27. Guilhem Bascle, 2008. "Controlling for endogeneity with instrumental variables in strategic management research," Post-Print hal-00576795, HAL.
    28. Marko Sarstedt & Jan-Michael Becker & Christian M. Ringle & Manfred Schwaiger, 2011. "Uncovering and Treating Unobserved Heterogeneity with FIMIX-PLS: Which Model Selection Criterion Provides an Appropriate Number of Segments?," Schmalenbach Business Review (sbr), LMU Munich School of Management, vol. 63(1), pages 34-62, January.
    29. Josef A. Mazanec & Amata Ring, 2011. "Tourism Destination Competitiveness: Second Thoughts on the World Economic Forum Reports," Tourism Economics, , vol. 17(4), pages 725-751, August.
    30. Rasoolimanesh, S. Mostafa & Ringle, Christian M. & Jaafar, Mastura & Ramayah, T., 2017. "Urban vs. rural destinations: Residents’ perceptions, community participation and support for tourism development," Tourism Management, Elsevier, vol. 60(C), pages 147-158.
    31. Mohsin, Asad & Lengler, Jorge & Aguzzoli, Roberta, 2015. "Staff turnover in hotels: Exploring the quadratic and linear relationships," Tourism Management, Elsevier, vol. 51(C), pages 35-48.
    32. Marko Sarstedt & Erik Mooi, 2019. "The Market Research Process," Springer Texts in Business and Economics, in: A Concise Guide to Market Research, edition 3, chapter 2, pages 11-24, Springer.
    33. Marko Sarstedt & Jun-Hwa Cheah, 2019. "Partial least squares structural equation modeling using SmartPLS: a software review," Journal of Marketing Analytics, Palgrave Macmillan, vol. 7(3), pages 196-202, September.
    34. Ahrholdt, Dennis C. & Gudergan, Siegfried P. & Ringle, Christian M., 2019. "Enhancing loyalty: When improving consumer satisfaction and delight matters," Journal of Business Research, Elsevier, vol. 94(C), pages 18-27.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sarstedt, Marko & Radomir, Lăcrămioara & Moisescu, Ovidiu Ioan & Ringle, Christian M., 2022. "Latent class analysis in PLS-SEM: A review and recommendations for future applications," Journal of Business Research, Elsevier, vol. 138(C), pages 398-407.
    2. Muhammad Irfan & Raima Adeel & Muhammad Shaukat Malik, 2023. "The Impact of Emotional Finance, and Market Knowledge and Investor Protection on Investment Performance in Stock and Real Estate Markets," SAGE Open, , vol. 13(4), pages 21582440231, November.
    3. Jun-Hwa Cheah & Hiram Ting & T. Ramayah & Mumtaz Ali Memon & Tat-Huei Cham & Enrico Ciavolino, 2019. "A comparison of five reflective–formative estimation approaches: reconsideration and recommendations for tourism research," Quality & Quantity: International Journal of Methodology, Springer, vol. 53(3), pages 1421-1458, May.
    4. Joseph F. Hair & Christian M. Ringle & Siegfried P. Gudergan & Andreas Fischer & Christian Nitzl & Con Menictas, 2019. "Partial least squares structural equation modeling-based discrete choice modeling: an illustration in modeling retailer choice," Business Research, Springer;German Academic Association for Business Research, vol. 12(1), pages 115-142, April.
    5. Marko Sarstedt & Jun-Hwa Cheah, 2019. "Partial least squares structural equation modeling using SmartPLS: a software review," Journal of Marketing Analytics, Palgrave Macmillan, vol. 7(3), pages 196-202, September.
    6. Schlittgen, Rainer & Ringle, Christian M. & Sarstedt, Marko & Becker, Jan-Michael, 2016. "Segmentation of PLS path models by iterative reweighted regressions," Journal of Business Research, Elsevier, vol. 69(10), pages 4583-4592.
    7. Sarker, Moniruzzaman & Mohd-Any, Amrul Asraf & Kamarulzaman, Yusniza, 2021. "Validating a consumer-based service brand equity (CBSBE) model in the airline industry," Journal of Retailing and Consumer Services, Elsevier, vol. 59(C).
    8. Christian Nitzl & Wynne W. Chin, 2017. "The case of partial least squares (PLS) path modeling in managerial accounting research," Journal of Management Control: Zeitschrift für Planung und Unternehmenssteuerung, Springer, vol. 28(2), pages 137-156, May.
    9. Lim, Xin-Jean & Cheah, Jun-Hwa & Ngo, Liem Viet & Chan, Kara & Ting, Hiram, 2023. "How do crazy rich Asians perceive sustainable luxury? Investigating the determinants of consumers’ willingness to pay a premium price," Journal of Retailing and Consumer Services, Elsevier, vol. 75(C).
    10. Schlägel, Christopher & Sarstedt, Marko, 2016. "Assessing the measurement invariance of the four-dimensional cultural intelligence scale across countries: A composite model approach," European Management Journal, Elsevier, vol. 34(6), pages 633-649.
    11. Mohamed M. Khalifa Tailab, 2020. "Using Importance-Performance Matrix Analysis to Evaluate the Financial Performance of American Banks During the Financial Crisis," SAGE Open, , vol. 10(1), pages 21582440209, January.
    12. Pundziene, Asta & Sermontyte-Baniule, Rima & Rialp-Criado, Josep & Chesbrough, Henry, 2023. "Indirect effect of open innovation on clinical and economic value creation in digital healthcare: A comparative study of European countries," Journal of Business Research, Elsevier, vol. 159(C).
    13. Ioana Gutu & Daniela Tatiana Agheorghiesei & Alexandru Tugui, 2023. "Assessment of a Workforce Sustainability Tool through Leadership and Digitalization," IJERPH, MDPI, vol. 20(2), pages 1-30, January.
    14. Sarstedt, Marko & Hair, Joseph F. & Cheah, Jun-Hwa & Becker, Jan-Michael & Ringle, Christian M., 2019. "How to specify, estimate, and validate higher-order constructs in PLS-SEM," Australasian marketing journal, Elsevier, vol. 27(3), pages 197-211.
    15. Sarstedt, Marko & Ringle, Christian M. & Smith, Donna & Reams, Russell & Hair, Joseph F., 2014. "Partial least squares structural equation modeling (PLS-SEM): A useful tool for family business researchers," Journal of Family Business Strategy, Elsevier, vol. 5(1), pages 105-115.
    16. Valentin Niță & Ioana Guțu, 2023. "The Role of Leadership and Digital Transformation in Higher Education Students’ Work Engagement," IJERPH, MDPI, vol. 20(6), pages 1-32, March.
    17. Hair, Joseph F. & Astrachan, Claudia Binz & Moisescu, Ovidiu I. & Radomir, Lăcrămioara & Sarstedt, Marko & Vaithilingam, Santha & Ringle, Christian M., 2021. "Executing and interpreting applications of PLS-SEM: Updates for family business researchers," Journal of Family Business Strategy, Elsevier, vol. 12(3).
    18. Ringle, Christian M. & Sarstedt, Marko & Schlittgen, Rainer & Taylor, Charles R., 2013. "PLS path modeling and evolutionary segmentation," Journal of Business Research, Elsevier, vol. 66(9), pages 1318-1324.
    19. Becker, Jan-Michael & Ismail, Ida Rosnita, 2016. "Accounting for sampling weights in PLS path modeling: Simulations and empirical examples," European Management Journal, Elsevier, vol. 34(6), pages 606-617.
    20. Fernando Gimeno-Arias & José Manuel Santos-Jaén & Mercedes Palacios-Manzano & Héctor Horacio Garza-Sánchez, 2021. "Using PLS-SEM to Analyze the Effect of CSR on Corporate Performance: The Mediating Role of Human Resources Management and Customer Satisfaction. An Empirical Study in the Spanish Food and Beverage Man," Mathematics, MDPI, vol. 9(22), pages 1-21, November.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:toueco:v:26:y:2020:i:4:p:531-554. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.